CBN elevates terrorism financing supervision, issues new sanctions directives

The Central Bank of Nigeria has elevated terrorism financing supervision to a current supervisory priority, as disclosed in a Tuesday press statement signed by Acting Director of Corporate Communications Hakama Sidi-Ali. The apex bank says the focus will cover terrorism financing risk management and transaction monitoring, implementation of targeted financial sanctions, and suspicious transaction reporting related to terrorism financing, all while maintaining its risk‑based supervisory approach that combines on‑site and off‑site engagements.

This heightened scrutiny means banks, payment service banks, and other financial institutions will face closer examination of their anti‑money laundering and counter‑terrorism controls. Institutions that fail to strengthen monitoring, sanctions compliance, and reporting could attract regulatory penalties, while the move aims to protect the financial system from abuse by illicit actors and align Nigeria with international counter‑terrorism financing standards.

The CBN also noted that, under a June 24, 2026 circular (Ref: CMD/FCS/PUB/CIR/002/011), it directed regulated entities to immediately freeze accounts, assets, and transactions linked to six individuals and four Bureau De Change operators designated for terrorism financing, pursuant to the updated Nigeria Sanctions List effective June 18, 2026. Earlier, a March 12, 2026 circular tightened BVN enrolment and data access rules to bolster fraud monitoring. As a customer or business owner, will you check whether your bank’s compliance programs reflect these new supervisory expectations, or ask your relationship manager about the safeguards in place for your transactions?

SOURCE: https://nairametrics.com/2026/09/08/cbn-intensifies-terrorism-financing-surveillance-on-banks/