CBN heightens regulatory supervision of terrorism financing risks in economy

*The Central Bank of Nigeria intensifies supervisory role on terrorism financing risk management, making this responsibility a current priority in the West African country’s financial ecosystem

Isola Moses | ConsumerConnect

As part of measures to prevent the country’s financial system from exploitation by illegal actors, the Central Bank of Nigeria (CBN) has intensified its supervisory focus on terrorism financing, making it a current priority in the financial ecosystem.

Mrs. Hakama Sidi-Ali, Acting Director, Corporate Communications and Investor Relations Department, disclosed this development in a statement.

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The banking sector regulator said under the heightened supervisory focus, it would pay particular attention to terrorism financing risk management, transaction monitoring, implementation of targeted financial sanctions and the reporting of suspicious transactions linked to terrorism financing.

The Bank said it would continue to deploy a risk-based supervisory approach, including on-site and off-site engagements, to strengthen anti-money laundering, counter-financing of terrorism and counter-proliferation financing (AML/CFT/CPF) controls across the financial sector.

According to the CBN, the measures will be implemented in accordance with existing legal and regulatory requirements.

The Bankers’ Bank said the move also supports Nigeria’s domestic and international cooperation on counter-terrorism financing, counter-proliferation financing and broader efforts to strengthen financial integrity and protect the financial system.

The statement noted: “Further supervisory engagement will be undertaken as appropriate.”

The Bankers’ Bank also  said the initiative underscored its ongoing commitment to safeguarding the Nigerian financial system against illicit activities.

It equally restated its supporting efforts at strengthening financial integrity at both domestic and international levels in the financial system.