The Nigeria Deposit Insurance Corporation (NDIC) has begun the process of concluding the liquidation of 89 defunct Microfinance Banks (MFBs) and Primary Mortgage Banks (PMBs), following their acquisition by new owners under its Purchase and Assumption (P&A) resolution framework.

The affected institutions are part of the 179 microfinance banks and four primary mortgage banks whose operating licences were revoked by the Central Bank of Nigeria (CBN) on May 22 and 23, 2023, as part of regulatory actions to sanitise the financial sector.

Under the P&A arrangement, the NDIC facilitated the transfer of assets and liabilities of the failed banks to 89 newly licensed institutions approved by the CBN. These successor institutions have since commenced operations under new identities, ensuring continuity of banking services and protection of depositors.

In a statement issued on April 8, 2026, the NDIC said it would approach various divisions of the Federal High Court to obtain orders formally dissolving the defunct banks and discharging the Corporation from its role as liquidator.

The Corporation noted that the move is in line with the provisions of its enabling Act and other relevant laws governing bank resolution and liquidation in Nigeria.

NDIC further disclosed that the list of the closed banks and their corresponding acquiring institutions forms part of the ongoing process aimed at bringing the liquidation exercise to a legal conclusion.

The development marks a significant step in the Corporation’s mandate to maintain stability in the financial system and ensure orderly resolution of failed financial institutions.