Top 20 Microfinance Banks in Nigeria

So, this is my special article on the top 20 microfinance banks in Nigeria. With 719 microfinance banks officially recognized by the Central Bank of Nigeria, there is no shortage of options for those in need of financial services. These banks play a crucial role in offering vital financial solutions like loans, savings, and domestic money transfers, especially to those who often find themselves overlooked by traditional banks—think market women, unemployed youths, and low-income earners.

In a country as populous as Nigeria, where only about 64% of adults have access to financial services, the importance of these microfinance institutions cannot be overstated. Many are rising to the challenge and making a significant impact on financial inclusion.

So, how do we determine which microfinance banks are leading the pack? I have evaluated them based on customer satisfaction, innovation, and the quality of their services. Stay tuned as we unveil the top 20 microfinance banks that are not just setting standards but also exceeding expectations.

Top 20 Microfinance Banks in Nigeria

For this compilation, I followed what consumers have had to say on platforms such as Nairaland and some Facebook comments. That said, below are the top 20 microfinance banks in Nigeria.

1. LAPO Microfinance Bank

Founded in the 1980s, LAPO Microfinance Bank has a long history of serving underprivileged Nigerians. Initially set up to help people navigate the tough economic conditions of the Structural Adjustment Programme era, the bank has evolved into a leading microfinance institution.

It focuses on uplifting low-income families by offering them sustainable and tailored financial services. Want to know more? Head over to LAPO Microfinance’s website to access their loan options.

2. KUDA Microfinance Bank

KUDA Bank is a rising star in Nigeria’s microfinance sector. Originally launched as Kudimoney in 2016, it has since rebranded to KUDA and secured over $90 million in funding.

The bank has gained a strong following among young people, thanks to its user-friendly mobile app. The app makes it a breeze to sign up and access a variety of banking services.

If you’re curious, check out KUDA’s website, and don’t forget to download their mobile app.

3. Mutual Trust Microfinance Bank

Another top microfinance bank in Nigeria, Mutual Trust Microfinance Bank, has been a game-changer in Nigeria’s microfinance sector since its rebranding in April 2016. Previously known as Mark de Rock Microfinance Ltd, the bank has modernized the way microfinance works in the country.

What sets them apart? Their use of advanced technology and a skilled team offer top-notch financial services. You can apply for a loan and get approval within the same day, all in less than ten hours.

Moreover, they offer flexible repayment options to make your life easier. Want to know more? Check out their website or download their app from Google Play Store or the iOS store.

4. VFD Microfinance Bank (VBank)

If you are someone who loves staying ahead of the curve, especially when it comes to banking, VFD Microfinance Bank, commonly known as VBank, is the place for you.

Established in 2009 as a part of the VFD Group, this bank started its operations in 2011. What sets it apart is its focus on digital banking. They have a mobile app that is not just user-friendly but also packed with features.

VDF is designed to give you more control over your finances. The bank is all about reimagining the way banking is done, making it more accessible and convenient for its customers. To find out more about what they offer, you can visit their website.

5. Sparkle Microfinance Bank

Sparkle Microfinance Bank is a relatively new player, launched in 2019 by Uzoma Dozie, the former Managing Director of the now-defunct Diamond Bank. The bank aims to make financial services accessible to small businesses and individual users.

One of the standout features is their mobile app, available on both Google Play Store and the iOS store. This app allows you to access a wide range of financial services right from your phone. The bank’s mission is to democratize access to financial services, making it easier for everyone. For more information, you can go to the Sparkle Microfinance Bank website.

6. BoI Microfinance Bank

BoI Microfinance Bank is a subsidiary of Nigeria’s oldest development bank, the Bank of Industry. Established in 2002, this bank has a strong focus on supporting small and medium-sized enterprises (SMEs) as well as low-income earners.

This microfinance bank offers a variety of loan services tailored to these groups. Additionally, they provide saving deposit services.

The bank benefits from the financial backing of the Bank of Industry, making it a reliable choice for customers. You can check the BoI website to get your loan.

7. AB Microfinance Bank

Founded in 2008 with its headquarters in Lagos, AB Microfinance Bank positions itself as a socially responsible financial institution. They offer a variety of financial products including micro-loans, SME loans, and housing loans. Also, they also provide options for savings accounts, current accounts, and fixed deposit accounts.

They even offer mobile banking services, making it easier for customers to manage their finances on the go. You can get a micro loan via the AB Microfinance website is a good place to start.

8. Fina Trust Microfinance Bank

Established in 2009, Fina Trust Microfinance Bank is one of the leading microfinance banks in Nigeria. They are affiliated with the LOLC Group, which is the largest non-banking corporate entity in Sri Lanka.

Fina Trust offers a wide range of services including quick loans, salary advances, SME loans, and education loans.

They also provide various types of account services like savings accounts, current accounts, and fixed deposit accounts.

The bank prides itself on being a leading player in the microfinance sector in Nigeria. To learn more about their services, you can visit their website and check out Fina loans.

9. ACCION Microfinance Bank

ACCION Microfinance Bank was founded in 2006 and has come to uplift low-income individuals and small business owners by offering a range of financial services.

Whether you need a loan for your small business, your child’s education, or even for buying a home, ACCION has got you covered.

This microfinance bank even gives quick loans up to N150,000, accessible through their mobile banking app or USSD codes. Their mission is clear: to offer financial help in a way that is both ethical and sustainable. Go to Accion Microfinance Nigeria.

10. Assets Microfinance Bank

Don’t overlook Assets Microfinance Bank just because it’s relatively new. This bank is quickly making a name for itself with its innovative financial products aimed at boosting Nigerian businesses.

Established by the Central Bank of Nigeria (CBN), Assets Microfinance Bank offers more than just loans. They also have savings and investment options to help you grow your money. Whether you need a personal loan, a business loan, or a payday loan, they have a variety of services to meet your needs. You can apply for a loan with Assets Microfinance Bank.

11. Altitude Microfinance Bank

As a small business owner or someone who doesn’t make a lot of money, Altitude Microfinance Bank is here for you. They’ve got the green light from the Central Bank of Nigeria, so you know they’re legit. What’s cool about them is that they offer loans that won’t break the bank.

This bank is more about low interest rates to help you out. If you’re wondering where to find them, they’re located at 1, Thanni Olodo Street, Jibowu-Yaba, Lagos State, Nigeria. So, if you’re in the area and need some financial help, you know where to go.

Update

Unfortunately, Altitude Microfinance Bank has been recommended for license revocation by the CBN. Therefore, you should not engage with this bank.

12. Rehoboth Microfinance Bank

Now, let’s talk about Rehoboth Microfinance Bank. They’re a big deal, especially if you’re a small-scale trader who doesn’t think having a bank account is necessary. They offer loans and other financial goodies to help you grow your business.

They have been doing a great job for years, and that’s why they are one of the top 20 microfinance banks in Nigeria. If you want to visit them, their head office is at Adebowale House, Block B 150 Ikorodu Road, Onipanu Bus Stop, Lagos State. Go to the Rehoboth Microfinance Bank website.

13. FBN Microfinance Bank

Are you an aspiring entrepreneur or a small business owner who’s struggling a bit? FBN Microfinance Bank has got your back. This bank is a part of First Bank Nigeria and is all about helping small and medium-sized businesses that are going through tough times. This microfinance bank offers a variety of financial services to help you get back on your feet. They’ve earned their spot as one of Nigeria’s top microfinance banks because they’re really good at helping businesses that need a lifeline. So, if you’re looking for financial help, FBN Microfinance Bank is a solid choice.

14. Addosser Microfinance Bank

You can’t get the financial support you need from regular banks? Then Addosser Microfinance Bank is one of the best microfinance banks in Nigeria for you. They are all about reducing poverty and creating more jobs. Addosser Microfinance Bank has special financial products designed to help businesses, especially those in rural areas.

This institution also gives loans and other financial services to give your business the boost it needs. The company’s goal is to help you grow your wealth, so if that sounds like what you need, Addosser is worth checking out. Get loans from Addosser Microfinance Bank.

15. Mainstreet Microfinance Bank

Mainstreet Microfinance Bank is focused on helping out communities where people don’t have a lot of money. If you’re looking to grow your business, they offer loans specifically for that.

Established in 2008 and regulated by the Central Bank of Nigeria, they’ve been in the game for a while. They offer not just business loans but also other banking services.

This institution has built a strong reputation for helping people across Nigeria expand their businesses. So, if you are in a low-income community and need financial help, Mainstreet Microfinance Bank is a reliable option. Go to the website.

16. Fortis Microfinance Bank PLC

Founded in 2007, Fortis Microfinance Bank has its main office in Abuja, specifically at Media House, plot 2135, Herbert Macaulay Way, Wuse Zone 5. If you’re in the Abuja area and looking for a reliable microfinance bank, Fortis is a solid choice.

They have been around for a while, so they know the ins and outs of microfinance banking. Whether you’re a small business owner or an individual looking for financial services, Fortis is worth considering.

Update

Unfortunately, Fortis Microfinance Bank’s license has been revoked by the Nigerian Deposit Insurance Corporation.

17. MFP Microfinance Bank

MFP is easily one of the best microfinance banks in Nigeria and is situated in Sokoto state. This Microfinance Bank is a local favorite. Established in 2005, this bank has built a reputation for excellent customer service.

They offer loans at relatively low interest rates and maintain a good relationship with their customers. What sets them apart is their commitment to providing accurate and timely information about your account.

Also, this microfinance bank teamed up with the Sokoto state government to make life easier for civil servants. Instead of waiting for your salary from the government, you can get it directly from MFP Microfinance Bank. They are more than just a microfinance bank; they operate almost like a mini commercial bank.

18. NIRSAL Microfinance Bank

As a Nigerian looking for a specialized financial institution, NIRSAL Microfinance Bank (NMFB) is definitely worth considering. Licensed by the Central Bank of Nigeria, NMFB started its journey as a Private Limited Company in 2019. In the same year, they got the green light from the Central Bank to kick off their operations.

What sets NIRSAL Microfinance Bank apart is its role as an Intervention Bank. This means they act as a channel for special funds from the Central Bank of Nigeria, directing these funds to qualified Nigerian citizens. It’s a unique setup where the Bankers Committee owns 75% of the bank, NIRSAL owns 15%, and NIPOST owns the remaining 10%.

The bank’s headquarters is in Abuja, but they’ve got a pretty extensive network. With 115 branches spread across all states in Nigeria, they have you covered no matter where you are in the country. Visit the website to start your loan application.

19. Lovonus Microfinance Bank

If you are in Lagos and looking for a well-established microfinance bank, Lovonus Microfinance Bank is a strong contender. With a decade of experience under its belt, this bank has carved out a niche for itself in the bustling city.

Lovonus offers a wide range of banking services, from corporate and commercial to SME, consumer, and personal banking. Lovonus Microfinance Bank does have something for everyone. They have specialized expertise in key sectors like oil and gas, infrastructure finance, agriculture, and commodity/export. So, if you’re in any of these industries, you’ll find Lovonus to be particularly helpful. Go to the Lovonus Microfinance Bank website.

20. Baobab Microfinance Bank

Indeed, Baobab Microfinance Bank is one of the top microfinance banks in Nigeria but is a bit of a globetrotter, operating not just in various African countries but also in China. Their main goal is to make financial services more accessible for small businesses.

With a customer base of over 280,000 and a whopping N15 billion in loans disbursed, they’re doing a pretty good job at it.

Moreover, Baobab focuses on innovation and has an app named the Baobab app, that makes transactions super easy. Plus, they’ve partnered with agency bank networks to make sure they can reach customers even in the most remote areas. Get Baobab Microfinance Bank Loan now.

Read alsoHighest Paying Banks in Nigeria this Year!

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