CBN Directs Each MfBank Branch to Get 768 New Customers

By Modupe Gbadeyanka

In order to meet the 80 percent financial inclusion target by 2020, the Central Bank of Nigeria (CBN) has directed each branch of microfinance bank operating in the country to acquire 64 new customers every month.

In a circular to MFBs, the apex bank explained that this decision was reached at a stakeholders’ forum for all financial service providers in the six geo-political zones in the first and second quarters of 2019, which was attended by representatives of MFBs.

The CBN, which lauded the contribution of microfinance banks to the implementation of the National Financial Inclusion Strategy (NFIU) launched in 2012, said as at the end of 2018, 63.2 percent or 63 million adult Nigerians were financially served, leaving an inclusion gap of 36.8 percent or 36.6 million adult Nigerians that need to be included.

It said given the short time to the end of the target date, it has become expedient for all stakeholders to double efforts towards the realization of the targeted 80 percent inclusion rate next year.

According to the central bank, “One of the major resolutions reached at the event was the setting of a target for each branch of a microfinance bank to acquire 64 new customers per month. This translates to 774 new bank accounts (measured by new BVN registration) per branch per year.

“Given the urgency of this task, it is important to cascade the target to your branches for their information and implementation.

“Consequently, all MFBs are hereby requested to implement the above resolution and disseminate same to all their branches (where applicable) to ensure concerted efforts towards achieving the overarching target of 80 percent financial inclusion by the year 2020.

“A monthly report/update on new customers on-boarded should be submitted to the Director, Other Financial Institutions Supervision Department using the attached format and a soft copy sent to the officers,” the circular said.

It will be recalled that the National Financial Inclusion strategy (NFIS) was launched in October 2012 and revised in 2018 with the major objective of increasing the percentage of adult Nigerians who own bank accounts and use formal financial services from the baseline figure of 46.3 percent in 2010 to 80 percent by 2020.