Microfinance banks in Nigeria

Micro-finance banks are financial institutions which helps to promote commercial activities by providing capital, grants and loans for individuals to start up their business, thereby reducing the poverty rate. In Nigeria, there are many micro-finance banks which provide financial support for individuals to start up small and medium enterprises. Borrowing loans and capital for business startups in micro-finance banks is flexible, easy and comfortable; its protocols are not as cumbersome as that of commercial banks. Every micro-finance bank operating as a business entity in Nigeria is meant to be registered and should meet up in providing loans for individuals.

Micro-finance banks commenced operations under the Central Bank of Nigeria in the year 2005. However micro-finance policy, supervisory and regulatory structure was amended in April 2011. In general to boost the economy of any country, the government needs a well balanced framework of micro-finance banks to support the less financial privileged to boost production as this contributes to strong GDP (Gross Domestic Product).

In this article, we will highlight the micro-finance banks which are reliable, dedicated and trusted in their service.

AB Microfinance Bank Nigeria

AB micro-finance bank is one of the oldest micro-finance banks in Nigeria. It was founded in 2002 with an objective of offering financial services which are aimed at promoting small business and entrepreneurs with low capital. It has assisted a lot of individuals to get loans for their business. The bank has branches in other parts of the country but currently, it has its headquarters domiciled in Lagos.

Mainstreet Microfinance Bank

Formerly known as Afribank micro-finance bank, Mainstreet micro-finance bank started in 2009 which was aimed at providing its clients with financial assistance so as to meet up with the financial requirements needed to run their business. It has its head office at 94, Broad street, Lagos Island, Lagos state.

Addosser Microfinance Bank

Addosser microfinance bank limited was registered in May 2008 as a financial institution which offers micro-finance assistance for the growth and development of small scale business. One advantage of banking with ADDOSSER is that they have a low interest rate unlike other banks. This has made them grow to great heights as they currently serve more than 80,000 customers. They have their headquarters located at 32, Lewis Street, Lagos Island, Lagos.

Fina Trust Microfinance Bank

Fina Trust bank is one of the top micro-finance banks in Nigeria. It was established in the year 2009 as a financial institute that provides financial assistance to small scale businesses. It provides loans ranging from the rate of N10,000 to N100,000. Fina Trust has its headquarters located at 44, Toyin Street, Ikeja, Lagos.

Accion Microfinance Bank

Accion microfinance bank is one bank that gives loans in small amounts to individuals. This made it a tryout for petty traders to get loans in lesser amount. They have their headquarters located in 4th floor, Elezade plaza, 322, Ikorodu Road, Anthony, Lagos state.

Altitude Microfinance Bank

Altitude microfinance bank gives loans to less financial privileged individuals by lending money which must be paid back. It was founded in 2004, it has its headquarters at JP Plaza, Central Zone C, ASPAMDA Trading complex, Badagry Expressway, Lagos state.

Rehoboth Microfinance Bank

Rehoboth micro-finance bank was founded in 2008 with a motive which is aimed at providing financial assistance to individuals and people who are interested in growing their business. They monitor their clients from time to time to check the progress of their business. Their headquarters is located at 13, Aweh Crescent, Onipanu, Lagos.

Fortis Microfinance Bank

Fortis happens to be one of the top rated micro-finance banks in the country. It was established in October 2007, to provide banking and financial servcies to small business owners. It has its headquarters at Media House, plot 2135, Herbert Macauley Way, Wuse Zone 5, Abuja.

Lapo Microfinance Bank

Lapo Microfinance bank was established in the year 2010, as a state micro-finance bank with an intention of promoting and growing small businesses. They were able to get a national micro-finace bank license in 2012. LAPO micro-finance bank has its head office located at 18, Dawson Road, Benin City, Edo State.

FBN Microfinance Bank

FBN Micro-finance bank is more like as business support bank that pays attention to entrepreneurs and business owners with a failing, crashed or collapsed business. It was incorporated as a business entity in March 2008 as a subsidiary of First Bank Nigeria (FBNMFB). It operates as a financial institution that provides loans to people. Their head office is located at 305, Herbert Macauley Road, Yaba, Lagos.