Bloc MFB receives approval in principle for microfinance bank license from CBN

Bloc Microfinance Bank (Bloc MFB), a subsidiary of BlocHQ Limited, has received an approval-in-principle from the Central Bank of Nigeria (CBN) to initiate its banking operations in Lagos, Nigeria. The CEO and co-founder, Edmund Olotu, confirmed this significant milestone in a statement released by the company.

The approval-in-principle from the CBN empowers Bloc MFB to integrate with the Corporate Affairs Commission (CAC) and finalise the process to secure its Microfinance Bank license. This development marks a critical step forward for Bloc’s journey as a financial services provider.

This milestone indicates that we have met all regulatory requirements and received the green light from the CBN to proceed with the necessary operations for finalizing the license acquisition process.

Edmund Olotu, CEO and co-founder of Bloc MFB

The approval signifies a remarkable leap for Bloc Microfinance Bank, poised to redefine banking experiences through cutting-edge technology and compliance-driven operations.

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Bloc MFB to expand financial services offerings

Bloc has been providing proprietary banking services since January 2021, offering customers a banking-as-a-service infrastructure to seamlessly embed banking and payment services into their applications. With a focus on enhancing accessibility, the company recently introduced a business banking product in private beta to its existing clientele.

In its pursuit of compliance and delivering top-tier banking services, Bloc collaborated closely with regulatory authorities to obtain its banking license via Bloc Microfinance Bank. The attainment of this milestone signals Bloc’s adherence to all regulatory requirements and its readiness to advance to the final stages of the licensing process.

The MFB license opens new avenues for Bloc’s banking infrastructure, enabling the issuance of proprietary virtual account numbers with advanced features for diverse use cases. This enhancement will revolutionise fund transfers in and out of virtual bank accounts, enriching the banking experience for customers.

All virtual bank accounts under Bloc MFB will be covered by deposit insurance from the Nigeria Deposit Insurance Corporation. The company emphasises its commitment to maintaining full compliance, working in tandem with the CBN and other regulatory bodies.

Edmund Olotu expressed optimism, stating, “This achievement sets the right tone for Bloc as a financial technology company, positioning us on the path to global success.”

Notwithstanding this milestone, Bloc is dedicated to nurturing existing partnerships with Tier-1 partner banks, offering startups and engineering teams increased integration options for virtual account services.

As the licensing process reaches its conclusion, Bloc assures stakeholders of transparent communication regarding any enhancements or modifications to its products and services.

This pivotal moment underscores Bloc Microfinance Bank’s commitment to fostering innovation in the financial technology space while upholding regulatory standards and ensuring a seamless and secure banking experience for its customers.