Inlaks: CBN right in licensing more microfinance banks

Inlaks, financial technology solutions provider in Nigeria and Sub-Saharan Africa, has commended the Central Bank of Nigeria for licensing additional 28 Micro Finance Banks (MFBs) in the country. This brings the number of microfinance banks in the country to 1,008, representing an increase of three per cent in that sector from 2016 to date.
Speaking on this development, Executive Director at Inlaks, Olufemi Muraino explained that this move was essential in order to effectively ensure the development of the Nigerian economy. He said, “The licensing of additional 28 MFBs in 15 States by the CBN is a welcome development which will not only attract investors and new businesses but will also boost the nation’s economy and further deepen financial inclusion in the country.”
Muraino further explained that this was an opportunity to integrate the newly licensed MFBs into the National Association of Microfinance Banks Unified IT Platform (NAMBUIT) to ensure a better regulatory framework. The National Association of Microfinance Banks Unified IT Platform (NAMBUIT) is an institutional collaboration between Inlaks, CBN and the National Association of Microfinance Banks (NAMB).
Already, Inlaks is partnering with the CBN to deploy a single core and agent banking solution for almost 1,000 microfinance banks in the country under the auspices of the NAMBUIT.
The banking solution is expected to link the Microfinance Banks [MFBs] in Nigeria to the platform of the Nigeria Inter Bank Settlement System [NIBSS] to enable the MFBs to engage the cash deposit banks in a seamless transaction.