The Nigeria Inter-Bank Settlement System (NIBSS) has reported a staggering 219.6 million active bank accounts in Nigeria as of March 2024.
Comparing this data to earlier releases by NIBSS, it’s evident that there has been a remarkable increase in active bank accounts. The report from earlier this year revealed 151 million active accounts for 2022. Fast forward to March 2024, and the latest figures show an impressive surge of 68.6 million new accounts within the last 15 months alone.
Furthermore, data from NIBSS indicates that by the end of 2023, active bank accounts totaled 202.6 million, indicating the opening of approximately 17 million new accounts across banks between January and March 2024.
Dormant Accounts:
In contrast to the surge in active accounts, NIBSS reports a decline in inactive or dormant bank accounts, which now stand at 19.8 million. This marks a significant decrease from the 72.8 million dormant accounts recorded in 2022. Dormant accounts have had no activity for 12 months, prompting banks to take preventive measures against fraud.
Similarly, the data reveals that 22.5 million bank accounts have been closed.
Bank Accounts vs. BVN:
Despite the substantial number of active bank accounts, a notable gap exists between the number of accounts and the Bank Verification Numbers (BVN) registered. As of April 2, 2024, the total registered BVNs by account owners stood at 61.5 million. However, analysts suggest that the disparity may not be significant, considering that multiple accounts can be linked to a single BVN.
According to the Enhancing Financial Innovation and Access (EFInA) Access to Financial Services in Nigeria 2023 Survey report, 5% (3 million) of banked adults do not possess a BVN or NIN (National Identification Number).
In response to this gap, the Central Bank of Nigeria (CBN) announced in December last year its intention to freeze accounts without a BVN and NIN from April 2024. The directive instructed banks to impose a “Post no Debit” restriction on existing Tier-1 accounts/wallets without BVN or NIN, preventing withdrawals, transfers, or other debits.
