The Senate has passed a bill to amend the Banks and Other Financial Institution Act CAP B3 Laws of the Federation of Nigeria 2004 (Amendment), 2020.
The bill was enacted over 2004 and confers the Governor of the Central Bank of Nigeria, the powers to impose and review penalties on infractions in the banking sector.
The Central Bank of Nigeria disclosed this on Wednesday in a statement titled ‘Senate passes bill to reenact BOFIA.’
The bill seeks to regulate banking and businesses of other financial institutions by prohibiting the carrying on of such businesses in Nigeria except under licence and by a company incorporated in Nigeria.
The bill will make adequate provisions for proper licensing, supervision and revocation of licences of such institutions by the CBN.
However for the BOFIA CAP B3 to be enacted, the House of Representatives have to pass the bill equally.
BOFIA will also be incorporating the laws for enacting, licensing and regulating Microfinance Banks in Nigeria.
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