CBN Grants Non-Interest Banking License to Lotus Bank

The Central Bank of Nigeria (CBN) has granted a non-interest banking license to Lotus Bank Limited.

This is contained in a statement titled ‘CBN grants Lotus Bank licence to commence non-interest banking operations’ released on Thursday.

“Lotus Bank seeks to pursue the mission of creating value and growth for all through digital innovation and best-in-class customer experience for Nigerians,” the statement said.

Founded and Chaired by Hajara Adeola, who is also the founder and managing director of Lotus Capital (the pioneers of non-interest finance in Nigeria), the bank said it was starting its operations on a solid foundation of experienced leadership and a strong advisory council of experts.

The statement said that Lotus Bank is managed by a team of seasoned professionals and financial experts led by the Managing Director/Chief Executive Officer, Kafilat Araoye, who has over 25 years of commercial banking experience.

According to the managing director, Lotus Bank’s focus and guiding principle is ‘to deliver an alternative option to interest-based banking and to cater to the needs of not just the banked but also the underbanked and unbanked population.

Non-interest banking was geared towards supporting the real sector and Lotus Bank aimed to improve financial inclusion in the country, it stated.

The bank said it would operate transparent pricing models as it was the norm in non-interest banking.

“Our values are deeply rooted in partnership. A critical component of our mission is the provision of innovative solutions that drive ethical prosperity for all stakeholders. We pride ourselves on digital solutions that provide our customers with the convenience of unlimited access to our services and products,” the statement said.

Araoye stated that “Our products and service offerings will include non-interest business financing, deposit products (current, savings and investment accounts) and personal financing.