CBN Unveils Licensing, Approvals Portal For Microfinance Banks
Elizabeth Christopher, Abuja
The Central Bank of Nigeria (CBN) has recently introduced a groundbreaking online platform for the submission of microfinance bank (MFB) license applications. The platform, known as the CBN Licensing, Approval and Other Requests Portal (CBN LARP), aims to revolutionize the current manual process and streamline the application process for MFB licenses.
According to a statement by Dr. Isa Abdulmumin, the Director of Corporate Communications at the CBN, the new online portal brings numerous benefits, including a simplified process, time savings, enhanced communication, and robust security measures. By digitizing the application process, the CBN aims to enhance accessibility, reduce paperwork, and expedite license approvals, ultimately benefiting both applicants and the economy.
Effective September 25, 2023, all MFB license applicants are required to submit both hardcopy and online applications through the CBN LARP as part of a parallel run. To ensure a seamless transition, the cover letter accompanying the hardcopy application must contain a valid application reference from the online submission.
The parallel run will continue until December 31, 2023. After this date, manual submissions of hardcopy MFB license applications will no longer be accepted, allowing for a fully digitalized process. The CBN, however, will continue to accept manual applications for all other license types until further notice.
This groundbreaking initiative by the CBN marks a significant milestone in the modernization of the Nigerian financial sector. With the implementation of the CBN LARP, the process of obtaining MFB licenses will become more efficient, transparent, and accessible, fostering growth and development in the microfinance banking sector.
The CBN encourages all prospective MFB license applicants to familiarize themselves with the new online platform and take advantage of the simplified and expedited application process. By embracing digital transformation, the CBN is paving the way for a more inclusive and technologically advanced financial system in Nigeria.
