By Tony Otaru
THE Central Bank of Nigeria (CBN) licensed a total of 866 Micro-finance Banks (MfBs) as at end of April 2011 throughout the Federation, even as it said that more applications are in various processing stages.
A CBN statement which made this known at the weekend, also observed that after five years experience in micro-finance banking in Nigeria, it is now an established fact that what is most needed is capacity building and stable environment to operate.
The CBN Deputy Governor, Other Financial Supervisory Department (OFSD), represented by Emmanuel Zakari, said the apex bank would continue its reforms of the sector to reach the unbanked populace.
He spoke at the formal signing of Memorandum of Understanding between HASAL Institute for Micro-finance Studies (HIMS Academy Limited) and Academy of German Co-operative.
He said the target of financial inclusiveness in its policy target is yet to be realised even though it has been able to achieve some successes within the time under review.
"What we want is sustainable growth in a stable economic environment. Until the financial institutions grow, the policy goal will not be met. But they have to grow in a stable environment." He assured that what happened in September last year will not re-occur as the bank is doing everything possible to prevent a repeat.
He affirmed: "Three things are key. The right philosophy, the right business model and technical skill. I believe that things can turn around to provide all that. That is why we are particularly delighted on what is happening today."
Earlier, the Managing Director of HASAL Institute for Micro-finance Studies, Mr Rogers Nwokedi, noted that research had shown that MfBs lacked the requisite expertise to run the business.
While making presentation on the HIMS Academy Limited, Nwokedi explained that the institute was set up to provide the training needs, identify needs of the sector, promote enterprise growth, and provide private sector-led research institute.
He further stated that the institute was meant to provide alter- native for the tertiary institutes and education, and provide sustainable income generation and accelerated business growth.
In a presentation, the representative of the Academy of German Co-operatives, Rudiger Meister, revealed that a total of 1,136 German co-operative financial sector, the equivalent of Nigeria's MfBs are in existence in his country.
