Commercial banks in Nigeria closed more than 2 million bank accounts in the first quarter of 2024 to adhere to regulatory directives regarding the linkage of bank accounts to the National Identity Number (NIN) and to clean their records of questionable accounts.
This move comes as part of efforts to ensure compliance and transparency in the banking sector, according to a report by the Nigerian Interbank Settlement System (NIBSS).
The report also revealed a growth in the number of inactive bank accounts, which increased by 2.0 percent month-on-month to reach 19.7 million in March 2024. An account is classified as inactive when it shows no transactions, including deposits, withdrawals, transfers, or point-of-sale transactions for six consecutive months.
On the contrary, the number of active bank accounts witnessed an increase of 3.0 percent, totaling 219.64 million in March 2024. This data, compiled by NIBSS from the “Industry Bank Account Database” reported by banks, indicates a simultaneous effort by banks to close inactive accounts while maintaining and growing their active customer base.
Source: Vanguard