Economy

CBN Issues Stern Warning to Nigerians on MMM…See Details

Published

7 years ago

November 1, 2016

Nigerians have been given serious warning by the Central Bank of Nigeria over the controversial MMM scheme.

The Central Bank of Nigeria has warned Nigerians not to patronize the so-called ‘wonder banks’, as their activities were not regulated by it. The warning was issued on Monday by the Head, Consumer Protection Department, CBN, Hajiya Kadija Kassim.

Kassim stated this during a mentoring programme for students of the Government Secondary School, Suleja, Niger State. The programme held simultaneously in over 200 schools as part of activities to mark the World Savings Day.

‘MMM Federal Republic of Nigeria (nigeria.mmm.net)’ also called “mutual aid financial network,” is said to come with a monthly investment return of 30 per cent. But, the CBN said anything could happen to people who invested in the scheme as it is not regulated by the apex bank.

Kassim, while responding to a question asked by one of the students, described the scheme as fraudulent since it was not supported by any business model.

She said, “We have heard about the activities of MMM, but I want to warn you against it because they are wonder banks that are not regulated.

“Desist from their activities because they are fraudulent.”

She said the theme of this year’s World Savings Day, ‘Don’t save what is left after spending, but spend what is left after saving’, would assist in creating the needed awareness on the need to save.

She added, “The World Savings Day is a tradition created with the objective of stressing the importance of savings for modern economies and individuals alike.

“The primary objective is to increase awareness on financial literacy among various segments of the general public to sensitise them to the importance of saving, earning a livelihood, inculcating a savings habit, and generating employment and entrepreneurship for personal and national development.”