The Central Bank of Nigeria (CBN) has reaffirmed its dedication to fortifying the nation’s financial sector by enhancing regulatory oversight, improving risk management frameworks, and ensuring strict adherence to global banking standards. The apex bank outlined its ongoing efforts to combat financial crimes, maintain transparency, and boost public trust in the Nigerian banking system.
At a high-level Mandatory Compliance and Anti-Money Laundering (AML) Training Workshop, held in collaboration with Citi in Lagos over the weekend, Ms. Shola Phillips, Special Adviser to the CBN Governor on Compliance, emphasized the importance of upholding regulatory excellence. The event gathered compliance officers, trade operations specialists, and correspondent banking teams from various financial institutions, offering valuable insights into global regulatory trends, emerging financial risks, and strategies to enhance Nigeria’s alignment with international banking standards.
The CBN reiterated its commitment to enforcing anti-money laundering and counter-financing of terrorism (AML/CFT) measures as a top priority in protecting the country’s financial system from illicit activities. This move, the apex bank stated, would help foster investor confidence and ensure that financial institutions remain responsive to evolving global compliance frameworks.
The statement emphasized, “Regulators expect financial institutions to maintain dynamic, risk-based AML/CFT programmes that are adaptable to the ever-changing financial environment.”
The workshop also highlighted the increasing global scrutiny on financial institutions, underscoring the need for robust governance structures to mitigate risks and safeguard the integrity of financial systems. Siobhan Ni Ealaithe, Managing Director of Citi’s Correspondent Banking Group, stressed the importance of Know Your Customer (KYC), Know Your Business (KYB), and Know Your Transaction (KYT) protocols in curbing illicit financial activities.
Stephanie Bailey, Head of EMEA AML Risk Management for Foreign Correspondent Banking at Citi, provided a sobering statistic, revealing that over $3 trillion in illicit funds flowed through the global financial system annually. She urged financial institutions to strengthen due diligence practices, incorporate technology-driven risk assessments, and maintain transparency in all transactions.
These efforts align with CBN Governor Olayemi Cardoso’s vision to uphold regulatory excellence and strengthen Nigeria’s financial infrastructure. Cardoso has consistently highlighted that “a strong financial system is built on trust, and trust is earned through integrity and compliance.” He reiterated that the CBN would continue to set high regulatory standards to protect Nigeria’s financial ecosystem and ensure it is in line with global best practices.
Through these initiatives, the CBN aims to foster a strong culture of compliance, fortify Nigeria’s financial sector, and maintain its credibility and resilience on both the local and global stages.
