NAMB appeals to CBN to allow unit operators open more branches

The National Association of Microfinance Banks (NAMBs) says the N20 million new capital requirement for unit operators of microfinance bank is too much.

Valentine Whensu, the chairman of Lagos chapter of NAMB, said that many unit operators would go into extinction with the N20 million new capital requirements.

He, therefore, appealed to the Central Bank of Nigeria (CBN) to allow unit operators to open more branches in their council areas to enable them to meet the N20 million capital.

Whensu said that it would be more convenient for many of the unit operators to share the N20 million among their branches to enable them remain in business.

It would be recalled that under the CBN Revised Microfinance Bank Policy Framework, an operator at the unit level is required to recapitalise to the tune of N20 million and operate a single office.