Central bank of Nigeria revokes Heritage bank’s license

In a significant move, the Central Bank of Nigeria (CBN) has exercised its authority under Section 12 of the Banks and Other Financial Institutions Act (BOFIA) 2020 by revoking the license of Heritage Bank Plc.

According to a circular signed by Hakama Sidi Ali, the acting director of corporate communications at the CBN, the revocation is set to take immediate effect.

“The bank’s license revocation is attributed to its breach of Section 12(1) of BOFIA, 2020. Despite efforts by the board and management, the bank’s financial performance has not improved, posing a threat to financial stability,” the circular stated.

The CBN elaborated that despite engaging with the bank and implementing various supervisory measures to halt its decline, Heritage Bank’s situation has not improved, leaving the revocation of its license as the next necessary step.

This action aims to bolster public confidence in the banking system and safeguard the overall soundness of Nigeria’s financial system.

In line with Section 12(2) of BOFIA, 2020, the Nigeria Deposit Insurance Corporation (NDIC) has been appointed as the liquidator of Heritage Bank.

“We reassure the public that the Nigerian financial system remains robust. Today’s action underscores our unwavering commitment to preserving the safety and stability of our financial system,” the CBN emphasized.

Revoked Heritage Bank’s License by CBN