The Central Bank of Nigeria on Thursday disowned Zuldal Microfinance Bank Limited, warning that the institution is operating illegally without regulatory approval.
In a statement issued by the acting Director of Corporate Communications, Hakama Sidi Ali, the CBN cited the Banks and Other Financial Institutions Act 2020, emphasizing that Section 2(1) of the law “states that no person shall carry on any banking business in Nigeria except it is a company duly incorporated in Nigeria and holds a valid banking licence issued by the CBN.”
The apex bank noted that reports had surfaced suggesting that Zuldal Microfinance Bank Limited, which claims to have branches in Lagos, Abuja, Kaduna, and Kano, presents itself as a CBN-licensed institution.
“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 statement said.
The CBN stressed that the firm’s claim of being licensed is false and should be ignored by the public.
It urged Nigerians to avoid transactions with Zuldal, highlighting the significant risks involved in dealing with unlicensed financial operators. According to the statement, “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.”
