CBN Issues Warning to Microfinance Banks, Others, Gives Deadline for Submission of Financial Returns
- Nigeria's central bank has issued a warning to Primary Mortgage Banks, Development Finance Institutions and Microfinance Banks
- It warned that all financial institutions under the categories submit their monthly FinA on or before the 5th day of the following month
- The apex bank stressed that all regulatory breaches on the new directive will be sanctioned accordingly
Legit.ng journalist Zainab Iwayemi has over three years of experience covering the Economy, Technology, and Capital Market.
The Central Bank of Nigeria (CBN) has warned all Primary Mortgage Banks (PMBs) in the country regarding the timely submission of regulatory returns.
Source: UGC
It also issued a stern warning to Development Finance Institutions (DFIs) and Microfinance Banks.
The CBN expressed dismay over the late and non-rendition of periodic returns related to the financial institution's annual reports in a press release published on its website on March 5.
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The release was referenced FPR/DIR/PUB/LET/001/022 and signed by Dr Valentine Ururuka, director of financial policy and regulation.
In a release to Microfinance banks, it stated:
“The Central Bank of Nigeria has observed with dismay the late and non-rendition of periodic returns on FinA by Microfinance banks. All MFBs are therefore reminded of the provisions of section 24 of the Banks and Other Financial Institutions Act (BOFIA), 2020, and other extant regulations on timely rendition of regulatory returns.
“Consequently, all MFBs are to ensure their monthly FinA returns are submitted on or before the 5th day after the month end. Where the 5th day falls on the weekend or public holiday, returns shall be submitted the previous work day."
“You are strongly advised to ensure timely rendition of all regulatory returns as future breaches shall be sanctioned.”
Similar messages were sent to Development Finance Institutions and Primary Mortgage Banks operational in the country.
This came after the CBN revoked the operational licenses of 4,173 Bureaux De Change Operators in Nigeria.
According to the apex bank, the affected BDCs were found wanting to breach at least one of the bank's regulatory requirements.
Banks send messages to customers on update
Legit.ng reported that Nigerian banks have notified their customers of the need to update their bank account information with their Bank Verification Number (BVN) and National Identification Number (NIN) before Friday, March 1, 2024.
The banks said the move was in response to the CBN's recent circular dated December 1, 2023.
In the circular, the CBN stated clearly that customers must link their bank accounts with their NIN and BVN.
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Source: Legit.ng
