Test Your Knowledge on Nigeria’s CBN Licence Revocations

Question 1

What was the main reason given by the CBN for revoking the licences of microfinance banks?

Accepted Answer

Insufficient assets to meet liabilities

Answer

High profit margins

Answer

Excessive loan issuance

Answer

High customer satisfaction

Question 2

Which section of the Banks and Other Financial Institutions Act did the CBN use for the revocations?

Accepted Answer

Sections 12 and 13

Answer

Sections 5 and 6

Answer

Sections 10 and 11

Answer

Sections 15 and 16

Question 3

Which fintech company owns NowNow Microfinance Bank that had its licence revoked?

Accepted Answer

NowNow Digital

Answer

Paystack

Answer

Casha Technologies

Answer

Sycamore.ng

Question 4

What are the broader implications of these licence revocations for Nigerian fintechs?

Accepted Answer

Increased regulatory scrutiny

Answer

Immediate business expansion

Answer

Higher customer engagement

Answer

Cheaper operational costs

Question 5

How did the CBN intend to protect depositors with this action?

Accepted Answer

Revoking licences of non-compliant banks

Answer

Issuing new licences

Answer

Redesigning the financial system

Answer

Increasing interest rates