Few years ago, the total asset of Nigeria’s microfinance banks was estimated at N1.35tn. As of 2024, there are 719 Microfinance Banks licensed by the Central Bank of Nigeria.
The Microfinance Banking license has significantly reshaped the banking industry in Nigeria as it aids the proliferation of digital banking.
Microfinance is about providing financial services to the poor who are traditionally not served by the conventional financial institutions.
There are three categories of Microfinance licenses approved by the apex bank: Unit, State and National Microfinance Bank.
Requirements
Unit Microfinance license
For Unit license, the applicant is required to have a minimum paid-up capital of N20 million (twenty million Naira) and is prohibited from having branches and/or cash centres.
Authorized to operate only in one location.
State Microfinance license
A State Microfinance Bank is authorized to operate in one State or the Federal Capital Territory (FCT).
It shall be required to have a minimum paid-up capital of N100 million (one hundred million
Naira) and is allowed to open branches within the same State or the FCT, subject to prior written approval of the CBN for each new branch or cash centre.
National Microfinance license
A National Microfinance Bank is authorized to operate in more than one State including the FCT.
It shall be required to have a minimum paid-up capital of N2 billion (two billion Naira), and is allowed to open branches in all States of the Federation and the FCT, subject to prior written
approval of the CBN for each new branch or cash centre.
The institution over the years have provided loans worth over $10 billion to more than 40 million people.
Like every company, a Microfinance ship needs a captain and when in a market where there are over 700 companies competing, the captain who helps navigate the troubled water to stay ahead deserves some recognition.
Below are the Managing Directors/Chief Executive Officers of the top Microfinance Banks in Nigeria in 2024, as of the time of this publication:
1. LAPO Microfinance Bank
With over 23 years of experience in the Microfinance sector, Mrs. Ikponmwosa Iranmwinran Cynthia, serves as the Managing Director of LAPO Microfinance Bank.
She holds a Bachelor of Arts degree in English from the Edo State University (Ambrose Alli University), Ekpoma (1996) and a Master of Law degree in Corporate Governance and Law from the University of Portsmouth, United Kingdom (2014). She is a member of the Institute of Chartered Secretaries and Administration (ICSA) London and Chartered Institute of Bankers of Nigeria (CIBN).
She joined the Bank in September, 2001 and rose through various ranks to become Executive Director, Corporate Services until her appointment as Managing Director/Chief Executive Officer of the Bank in 2020.
Iranmwinran anchored the transformation process of Lift Above Poverty Organisation (LAPO) from an NGO to a regulated entity (LAPO MfB).
The bank has over the years that has over the years disbursed over N1.4 trillion micro credits to low income earners across the country.
2. KUDA Microfinance Bank
Babs Ogundeyi is a co-founder and CEO of KUDA Microfinance Bank. The bank was initially called Kudi Money and ‘the bank of the free’, an online-only savings and lending platform.
Before starting Kuda, Babs worked at PricewaterhouseCoopers (PwC) and was a Special Adviser on Finance in the Nigerian government. He is also a founder of two other companies.
3. ACCION Microfinance Bank
4. BoI Microfinance Bank
Dr. Olasupo Olusi is the Managing Director and CEO of the Bank of Industry (BoI). He is an economist and financial expert with with over two-decade career.
Olusi has served as a World Bank Country Economist for many countries, Economic Adviser at the Federal Ministry of Finance in Nigeria, and Senior Private Sector Specialist at the International Finance Corporation (IFC).
He also worked at World Bank where he significantly contributed to capital markets reform and conducted ground-breaking research on finance and private sector development in the Middle East and North Africa.
5. VFD Microfinance Bank
Nonso Okpala is the General Managing Director and Chief Executive Officer (GMD/CEO) of VFD Group Plc.
Before joining VFD Grup Plc, Nonso served as the Chief Financial Officer (CFO) of Heirs Holdings. He had also worked with KPMG, BGL and United Bank for Africa Plc (UBA).
6. Moniepoint Microfinance Bank
Tosin Eniolorunda is the co-founder and CEO of Moniepoint. He’s a former employee of Interswitch, an African unicorn fintech company.
Tosin joined Interswitch as a software engineer in 2009 and climbed the corperate ladder to become the Senior Software Manager, Unit Head of Application Development, and Product Manager.
He left in 2015 to start TeamApt, which later rebranded to Moniepoint.
7. Sparkle Mircofinance Bank
Uzoma Dozie is the founder and CEO of Sparkle. Before launching Sparkle in 2019, Uzoma served as the GMD and Bank CEO of Diamond Bank from 2014.
He is the son of Pascal Dozie, the founder of Diamond Bank.
8. Piggyvest Microfinance Bank
Somtochukwu Ifezue, fondly called Somto Ifezue, is a co-founder and CEO of PiggyVest.
9. VFD Microfinance Bank (VBank)
Nonso Okpala is the GMD/CEO of VFD Group Plc.
VFD Microfinance Bank is a subsidiary of VFD Group a proprietary investment company.
Until his appointment, Nonso served as the Chief Financial Officer (CFO) of Heirs Holdings, an African proprietary investment company.
10. Mutual Benefits Microfinance Bank
Adedoyin Onayemi is the Managing Director of Mutual Benefits Microfinance Bank.
He served as the former Senior Vice President and Head of Credit Risk of Kuda Bank.
Adedoyin was also the head of credit, product & analytics for Credit Direct consumer lending arm of FCMB Holdings PLC from 2018-2021.
11. AB Microfinance Bank
Pawel Wodz is the CEO of AB Microfinance Bank. He joined the Management Board of ABN in 2014
AB Microfinance Bank is an investee of AccessHolding.
Pawel is a graduate of Finance and Banking at the Warsaw School of Economics and Master in Business Administration at IESE.
He speaks Polish, German, and English and is currently learning Yoruba.
12. CIT Microfinance Bank
Talabi Adeniyi is the MD of CIT Microfinance Bank. Before joining the bank, he served as the MD of Mutual Benefits Microfinance Bank Limited.
13. Addosser Microfinance Bank
Bayo Fabiyi is the MD of Addosser Microfinance Bank. He joined the Bank as one of its pioneer staff in 2008. Prior to then, he had worked in institutions such as Ecobank Nigeria Plc. and defunct Intercontinental Bank Nigeria Plc.
14. Baobab Microfinance Bank
Eric Ntumba is the country manager of Baobab. Before joining Baobab, Eric worked mainly as an executive in the Congolese banking sector, within major institutions such as Equity Bank, Procredit Bank, Citigroup and Banque Commerciale du Congo.
15. Lovonus Microfinance Bank
Simeon Oni is the managing director of Lovonus Microfinance Bank.
He holds a master’s degree in business administration with regards in Human Resources Management and is a certified member of Chartered Institute of Bankers of Nigeria (CIBN).
16. Fina Trust Microfinance Bank
Buddika Wickramaarachchi is the MD/CEO of Fina Trust Microfinance Bank.
He holds a Post-graduate Diploma in Business Administration and a Master’s in Business Administration from Cardiff Metropolitan University in the United Kingdom.
Fina Trust Microfinance Bank is a member of LOLC Group.
Before his appointment on July 1, 2023, Buddika, from 2021 served as the Country Head of Tujijenge Financial Services Limited, Tanzania (under LOLC Overseas Operations) where he was responsible for the turning-around of the entity following LOLC acquisition and overall operations.
17. Assets Microfinance Bank
Idris Ibrahim is the Director of Assets Microfinance Bank. He holds a holds a first degree in Accounting and Masters in Professional Accountancy from Louisiana Tech University (USA). He has worked with Ernst and Young (EY) in the US, KPMG and AMCON in Nigeria before venturing out as an Entrepreneur in 2013.
18. Mutual Trust Microfinance Bank
Josh Oyebisi is the Managing Director (MD) of Mutual Trust Microfinance Bank.
19. United Capital Microfinance Bank
United Capital Microfinance Bank is a subsidiary of United Capital Group, a pan-African investment management and financial services group.
Michael Abiodun Thomas is the MD/CEO of United Capital Microfinance Bank.
20. Prudent Microfinance Bank
Sir Francis Shinku Akie KSM is the MD/CEO of Prudent Microfinance Bank.
He’s former Manager, Intercontinental Bank plc Kura Branch Kano and Access Bank plc AKTH branch Kano.
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