Top 11 Best Microfinance Banks in Nigeria (2023)

 

Microfinance banks are financial institutions created for the purpose of fighting poverty in any country. In Nigeria, there are over 882 registered microfinance banks operating in Nigeria that help individuals like farmers and those who have small and medium scale enterprises with loans to start their businesses.

It is believed that microfinance banks are not as complicated as the commercial banks, thereby an average citizen feels more comfortable borrowing from them than borrowing from commercial banks and since they are closer to the rural settlement of the country, small and medium scale entrepreneurs can obtain loan easily from these banks.

If you own a small business, and you are looking for trusted financial institutions to apply for a small business loan, then you should be thinking of the best microfinance banks in Nigeria that provides microfinance loans to individuals easily. The essence of these registered micro lenders institutions operating in the country aside providing business loans, is to ensure that the economy is stable via its different development support programs.

There are some top microfinance banks in Nigeria that are diligent, dedicated to service, ranked to be among the best and have earned clients/customers trust over the years. They don’t delay or have tedious procedures to obtain loan.

In Nigeria, Microfinance banks have led to the establishment of small and medium scale enterprises through their loaning schemes. Most Microfinance however only has few branches and operates within an area such as a state, Local Government Area while there are some that have just a branch. We shall be listing 11 of these banks.

 

Top Microfinance Banks in Nigeria (2023)

1. AB MICROFINANCE BANK

2. MAINSTREET MICROFINANCE BANK

3. FINA TRUST MICROFINANCE BANK

4. ALTITUDE MICROFINANCE BANK

5. ACCION MICROFINANCE BANK LIMITED

6. FORTIS MICROFINANCE BANK PLC

7. ADDOSSER MICROFINANCE BANK

8. MFP MICROFINANCE BANK

9. REHOBOTH MICROFINANCE BANK

10. LAPO MICROFINANCE BANK

11. KUDA BANK

Let us discuss them one after the other 

1. AB MICROFINANCE BANK

This is one of the best and oldest microfinance banks in Nigeria with branches all over the country. Created in 2008 by foreigners, this financial institution headquarters is located at 11, Oba Akran Avenue, Ikeja Lagos with other branches available. The aim of this financial institution is to empower start­up companies, businesses and entrepreneurs.

AB Microfinance bank is also one of the highest paying microfinance banks in the country. Salary for its entry-level staff is about ₦150,000 per month. This financial institution doesn’t only give out quick loans but also ensures that a borrower makes judicious use of the amount of money borrowed. Aside it’s good banking services, AB microfinance bank give out loans to small scale businesses, low-income individuals and promotes SME’S. You can visit AB microfinance bank we at www.ab­mfbnigeria.com to get more information about this bank services.

 

2. MAINSTREET MICROFINANCE BANK

Mainstreet microfinance Bank which commenced operation in 2009 has its headquarters at 94, Broad Street, Lagos Island, Lagos. Their email address is [email protected]. The bank was formerly known as Afribank microfinance bank.

 

3. FINA TRUST MICROFINANCE BANK

A tested and trusted bank, created in 2009. These financial institutions possess all it takes to be regarded as one of the leading microfinance banks in Nigeria. It has a very conducive banking environment, dedicated staff, good and appropriate management of approach towards clients.

Fina Trust is also a reliable microfinance bank license by the Central Bank of Nigeria to operate in the country. Over the years, this financial institution has seen to the development of local SME’S, providing topnotch microfinance services to small businesses. With an excellent customer service and conducive banking environment, you can be sure of receiving the best banking service or loan for your small business.

To get more information or to contact this Fina Trust microfinance bank, visit www.finatrustmfbank.com. This bank gives loan from amount ranging from N10,000 to N100,000. The bank’s headquarters address is located at 44, Toyin Street, Ikeja, Lagos.

 

4. ALTITUDE MICROFINANCE BANK

This is another top microfinance bank in Nigeria that was established in 2004, licensed by the CBN to economically empower low income earners and entrepreneurs through obtaining loans without hassles. Second on the list with lots of experience in the banking industry, Altitude is a microfinance bank aimed at helping and supporting the less privileged people in the country by giving them loans which must be paid back.

The bank was founded in the year 2004 with its headquarters located at JP Plaza, Central Zone C ASPAMDA Trade fair complex, Badagry Expressway, Lagos. They are a force to reckon with when it comes is microfinance and banking.

 

5. ACCION MF BANK LIMITED

Accion Microfinance Bank has empowered micro ­entrepreneurs, low-income earners, traders and small business owners through its excellent microfinance services. Most people believe this financial institution to be the best among all, due to the bank’s policy on the ease of applying for loans and micro­credits.

One of the best banks in the country when it comes to giving out loans in little amount. Accion bank was created in 2006 and their headquarters address is located on the 4th floor, Elizade Plaza, 322, Ikorodu Road, Anthony, Lagos state.

 

6. FORTIS MICROFINANCE BANK PLC

Fortis Microfinance Bank was established in 2007 and has its headquarters at Media House, plot 2135, Herbert Macaulay Way, Wuse Zone 5, Abuja.

 

7. ADDOSSER MICROFINANCE BANK

Addosser Microfinance Bank was established in 2008 and has its headquarters in 32, Lewis Street, Lagos Island, Lagos.

 

8. MFP MICROFINANCE BANK

MFP microfinance bank is located in Sokoto state. It was created in 2005. This microfinance bank is one of the banks in Nigeria that render best service to its customers, with relatively low interest rate, good workers/customers relationship.

MFP microfinance bank is a tested and trusted bank that gives accurate and timely information on customers’ account.

Finally, this bank partners with Sokoto state government to help civil servants easily receive their salaries from the bank instead of waiting for the government. MFP microfinance bank is more than ‘just’ a microfinance; it’s a mini commercial bank.

 

9. REHOBOTH MICROFINANCE BANK

It was created by a group of business minded people in Lagos. Rehoboth has over the years proven to be a bank that can be trusted and relied on. It’s one of the microfinance banks in Nigeria that ensures constant visitation to clients so as to check the progress of client’s business or work. Their head office address is at 13, Aweh crescent, Onipanu, Lagos.

 

10. LAPO MICROFINANCE BANK

They are known for their top services, Lapo is one of the best and popular state microfinance banks in Nigeria. It comes into existence in 2010 and was licensed in 2012. They have good customer service and are capable to solve the needs of their customers.

Lapo head office is located at 18, Dawson Road, Benin City, Edo State.

 

11. KUDA BANK

Kuda is currently the best online microfinance bank in Nigeria and the first digital bank with a microfinance banking license from the Central Bank of Nigeria. One thing that makes Kuda stand out is that it is free and easy to use.

Also, they also offer monthly transfers, debit and credit alerts, and you can withdraw cash from thousands of ATMs across Nigeria with no charges at all.

 

Classification of Microfinance Banks in Nigeria

Microfinance Banks in Nigeria are classified into five category and they include:

I.   Microfinance banks owned and controlled by non­-government organizations.

II.  Microfinance banks owned by the local community.

III. Microfinance banks/institutions funded by the government.

IV.  Foreign owned microfinance institutions.

V.   Microfinance institutions owned by the private sector.