CBN Enhances Financial Oversight to Strengthen Compliance with Global Banking Standards
The Central Bank of Nigeria (CBN) has reaffirmed its commitment to reinforcing the nation’s financial sector by enhancing regulatory oversight, risk management, and compliance with international banking standards. The apex bank is actively taking steps to prevent financial crimes, ensure transparency, and maintain public confidence in the Nigerian banking system. CBN’s Special Adviser on Compliance, Ms. Shola Phillips, made these remarks during a high-level Mandatory Compliance and Anti-Money Laundering (AML) Training Workshop held in Lagos, in collaboration with Citi.
At the workshop, which brought together compliance officers, trade operations specialists, and banking teams, CBN reiterated its commitment to regulatory excellence. The bank emphasized the importance of aligning Nigerian financial institutions with global compliance frameworks, particularly in the areas of anti-money laundering (AML) and counter-financing of terrorism (CFT) measures. Effective enforcement of these measures is seen as crucial to protecting Nigeria’s financial system from illicit activities and enhancing investor confidence.
Experts at the event highlighted the significance of strong governance frameworks in mitigating financial risks. Siobhan Ni Ealaithe, Managing Director of Citi’s Correspondent Banking Group, stressed the role of Know Your Customer (KYC), Know Your Business (KYB), and Know Your Transaction (KYT) protocols in preventing financial crimes. Additionally, Citi’s Stephanie Bailey pointed out that over $3 trillion in illicit funds flow through the global financial system each year, urging financial institutions to strengthen their due diligence and transparency efforts.
CBN Governor Olayemi Cardoso emphasized that a strong financial system is built on trust, which is earned through integrity and compliance. He underscored the CBN’s continuous efforts to set high regulatory standards to safeguard Nigeria’s financial ecosystem and ensure its alignment with global best practices. By fostering a culture of compliance and strengthening risk management frameworks, the CBN aims to safeguard the resilience and credibility of Nigeria’s financial system both locally and globally.
SOURCE: ARISE