The Central Bank of Nigeria (CBN) has issued a sharp warning that Zuldal Microfinance Bank Limited is operating illegally.
According to the CBN, the entity claims to have branches in Lagos, Abuja, Kaduna, and Kano, but it is not licensed to carry out any form of banking or microfinance business in Nigeria.
In a statement signed by its Acting Director of Corporate Communications, Hakama Sidi Ali, the CBN made clear that Zuldal has no regulatory approval or authorisation from the apex bank.
Citing the Banks and Other Financial Institutions Act (BOFIA) 2020, the CBN notes that Section 2(1) of the law explicitly prohibits any person or organisation from carrying out banking business in Nigeria without being duly incorporated in Nigeria and holding a valid banking licence issued by the CBN.
The regulator strongly advises Nigerians to ignore any claim by Zuldal MFB that it has been granted a licence or approval by the CBN, calling such claims false and misleading.
It warns that any financial transaction with Zuldal is conducted entirely at the individual’s own risk.
According to the CBN, dealings with unlicensed institutions like Zuldal expose customers to significant dangers, including the potential loss of funds and lack of legal recourse.
The bank repeatedly emphasised that unlicensed operations undermine the integrity of Nigeria’s financial system and place vulnerable members of the public in harm’s way.
To guard against such risk, the CBN urged the public to verify the licensing status of any institution before engaging with it.
The complete list of licensed microfinance banks and other financial institutions is available on the CBN’s official website.
The warning comes amid a broader concern about the proliferation of unregulated lenders exploiting gaps in public awareness, particularly through aggressive marketing and false promises.
The CBN reaffirmed its commitment to protecting the financial system, stressing that it remains vigilant against fraudulent operators and is prepared to take necessary action.
In its advisory, the CBN states very clearly that Zuldal Microfinance Bank Limited is not a recognised entity in its registry, despite the firm’s claims.
It described the situation as a serious risk to the public and expressed its determination to shield Nigerians from potential financial loss caused by unlicensed institutions.
By issuing this alert, the CBN hopes Nigerians will exercise caution, do due diligence, and avoid being misled by seemingly legitimate financial institutions that operate without the proper regulatory backing.
