The Central Bank of Nigeria (CBN) on Wednesday issued a notification to revoke the operating licenses of 154 microfinance banks in the country.

According to Punch newspaper, six primary mortgage banks and 22 other finance companies would receive similar notification from the apex bank.

The CBN said 62 of the microfinance banks had already closed shop; 74 became insolvent; 12 were terminally distressed; while six voluntarily liquidated.

The CBN listed the top mortgage banks for revocation as Accord Savings and Loans Limited in Lagos that failed to recapitalize; and Ahocol Savings and Loans Limited in Anambra (state government-owned) that closed shop.

Other mortgage banks for revocation are Trans-Atlantic Savings and Loans Limited in Bayelsa (state government-owned) that became insolvent; Royal Savings and Loans Limited in Delta State that also closed shop; Amex Savings and Loans Limited in Lagos that failed to recapitalise; and Supreme Savings and Loans Limited also in Lagos that closed shop.

The CBN further disclosed that eight finance companies voluntary liquidated; 13 failed to recapitalise; while one became insolvent.

According to the apex bank, the affected institutions are from different states of the federation.