CBN Declares Zuldal Microfinance Bank Illegal

• The Central Bank of Nigeria has declared that Zuldal Microfinance Bank Limited is operating illegally without any licence or approval, urging Nigerians to avoid all dealings with the firm.

The Central Bank of Nigeria (CBN) has disowned Zuldal Microfinance Bank Limited, warning that the entity is operating unlawfully and without any regulatory approval.

In a statement issued on Thursday, the Acting Director of Corporate Communications, Hakama Sidi Ali, cited the Banks and Other Financial Institutions Act (BOFIA) 2020, noting that Section 2(1) explicitly states that no individual or company may conduct banking business in Nigeria without being duly incorporated and licensed by the CBN.

The apex bank said it became aware of reports that the firm—which claims to operate branches in Lagos, Abuja, Kaduna, and Kano—presents itself as a licensed microfinance bank.

“The said Zuldal Microfinance Bank Limited is not a licensed Microfinance Bank and has no authorisation from the Central Bank of Nigeria to operate or carry out any form of banking or microfinance business in Nigeria,” the CBN stated.

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The bank further clarified that Zuldal’s claims of being licensed are false and should be disregarded by the public.

It warned Nigerians to avoid dealing with the entity, stressing that transactions with unlicensed financial operators expose individuals to significant risks.

“The general public is therefore strongly advised to disregard any claims of licensing or approval by Zuldal Microfinance Bank Limited and to refrain from engaging in any financial transactions with the said entity, as such dealings are undertaken at the individual’s own risk,” the statement added.