Banking
CBN Orders Banks, OFIs to Deploy AI Tech to Flag Illicit Money Flows
By Adedapo Adesanya
The Central Bank of Nigeria (CBN) has rolled out fresh technology-driven rules compelling banks and other financial institutions to deploy automated anti-money laundering systems capable of detecting suspicious transactions in real time.
The directive, contained in a circular issued on March 10, 2026, applies to deposit money banks, mobile money operators, international money transfer operators, payment service providers, and other institutions under the apex bank’s supervision.
According to the regulator, the new framework sets minimum standards for automated anti-money laundering solutions designed to strengthen the detection and reporting of financial crimes within Nigeria’s rapidly digitising financial ecosystem.
In the circular, the CBN explained that the guidelines establish a baseline structure for financial institutions to deploy advanced monitoring tools capable of flagging suspicious financial activities instantly.
“The baseline standards provide a framework for implementing automated solutions that strengthen the detection and reporting of suspicious transactions in real time and enhance compliance with applicable AML/CFT/CPF laws and regulations, while also supporting the use of emerging technologies to improve overall financial crime risk management,” it stated.
The circular was jointly signed by the Director of Banking Supervision, Mrs Akinwunmi A. Olubukola, and Mrs Olubunmi Ayodele-Oni, acting for the Director of the Compliance Department.
Under the new policy, financial institutions must deploy automated anti-money laundering platforms that combine customer identification systems, transaction monitoring, sanctions screening, and risk assessment tools into a single integrated framework.
The CBN said the guidelines apply to all institutions operating within the financial system under its regulatory authority, including banks, payment companies, and other licensed financial service providers.
While the new rules take effect immediately, institutions have been given specific timelines to fully implement the required technology infrastructure.
Deposit money banks are expected to achieve full compliance within 18 months, while other financial institutions have 24 months to meet the regulatory requirements.
In addition, all institutions are required to submit detailed implementation roadmaps within three months of the issuance of the circular.
“The implementation of these guidelines shall start from the date of issuance, while full compliance shall be 18 months (for Deposit Money Banks) and 24-months (for Other Financial Institutions) from the date of issuance,” the apex bank added.
A major highlight of the framework is the emphasis on advanced technology tools such as artificial intelligence, machine learning, predictive analytics, and behavioural monitoring to identify unusual financial patterns that may indicate criminal activity.
Under the guidelines, institutions must deploy systems capable of conducting risk-based customer due diligence, monitoring transactions across multiple financial channels, and screening customers against sanctions databases and lists of politically exposed persons.
The CBN also directed that these automated systems must integrate seamlessly with core banking infrastructure and customer identity databases, enabling continuous real-time analysis of transaction flows and behavioural patterns.
According to the apex bank, traditional manual monitoring processes are increasingly inadequate in a financial environment that is becoming more complex and heavily driven by digital payments, fintech platforms, and mobile banking.
The regulator said automated surveillance systems would enable institutions to identify potential financial crimes earlier and report suspicious transactions promptly to authorities such as the CBN and the Nigerian Financial Intelligence Unit (NFIU).
The guidelines further require financial institutions to establish governance structures to oversee the performance of automated systems, validate artificial intelligence models, and ensure that data protection safeguards comply with Nigeria’s privacy regulations.
Beyond technology deployment, institutions must maintain detailed audit trails and case management systems that document investigations into suspicious financial activity and track regulatory reporting obligations.
The central bank warned that institutions that fail to comply with the new standards or operate ineffective anti-money laundering frameworks could face regulatory penalties.
Compliance will be monitored through a combination of off-site regulatory surveillance, on-site examinations, and targeted thematic reviews conducted by the banking regulator.
The CBN emphasised that the newly issued standards represent only the minimum compliance benchmark, adding that institutions may be required to implement stronger controls depending on their operational scale, transaction volumes, and risk exposure.
By Aduragbemi Omiyale
An initiative known as Nigeria Lightning Rounds, designed to expand funding opportunities for Nigerian startups and small businesses by connecting founders with local and international investors, has been launched by ProvidusUnity Bank, in partnership with US-based global venture firm and accelerator, gener8tor.
Scheduled to be held on July 15, 2026, Nigeria Lightning Rounds will feature carefully selected startups engaging with targeted investors who have expressed interest in supporting Nigerian innovation.
Participating founders will have the opportunity to pitch their businesses through focused 15-minute virtual sessions facilitated by gener8tor and ProvidusUnity Bank’s networks.
The program will focus on high-growth sectors including fintech, healthtech, manufacturing, sustainability, and AI, but welcomes SMEs from all industries, with intending participants urged to apply via https://www.gener8tor.com/lightning-rounds/nigeria.
“We recognise that access to capital remains one of the biggest challenges facing entrepreneurs in Nigeria. Through our partnership with gener8tor, we are creating a platform that connects promising Nigerian founders with investors who can provide the support required to scale their businesses,” the Head of Business Development at ProvidusUnity Bank, Mr Ernest Elue, stated.
“The partnership reinforces ProvidusUnity Bank’s commitment to strengthening Nigeria’s entrepreneurial ecosystem by supporting innovation, enabling access to opportunities, and creating pathways for businesses with high-growth potential,” he added.
Also commenting, the Director of Lightning Rounds at gener8tor, Ms Elizabeth Larios, said, “gener8tor is thrilled to partner with ProvidusUnity Bank to extend the Lightning Rounds model into Nigeria.
“This collaboration reflects our commitment to building equitable ecosystems and driving capital to the most promising and underrepresented entrepreneurs.”
Lightning Rounds are a signature initiative of gener8tor’s investment platform, which has facilitated thousands of investor-startup meetings globally. The format is optimised to eliminate friction, reduce bias in early-stage fundraising, and help founders secure capital from investors aligned with their mission and stage. gener8tor’s previous Lightning Rounds for Nigerian Founders in 2025 featured 18 participating Investors and led to 50 investment meetings facilitated.
By Modupe Gbadeyanka
The verification of the depositors of the 46 microfinance banks, whose operating licenses were revoked by the Central Bank of Nigeria (CBN) over a week ago, has commenced.
The exercise, aimed at refunding those whose funds were trapped in the small lenders, is being conducted by the Nigeria Deposit Insurance Corporation (NDIC).
In a statement on Thursday, the agency said its staff members have been positioned at the offices of the affected banks across the country to attend to depositors.
It was disclosed that depositors of the defunct banks, who had their Bank Verification Numbers (BVNs) linked to their accounts in the failed banks, will be paid through their alternative accounts in existing banks.
However, depositors whose BVNs were not linked to their accounts in the failed banks have been encouraged to visit the affected banks’ offices with proof of account ownership, a passport photograph, verifiable means of identification (Driver’s Licence, Permanent Voter’s Card, International Passport or National ID Card) and BVN.
NDIC also stated that depositors can alternatively file their claims online through its website: www.ndic.gov.ng, to complete the Pre-Verification Claims Form by clicking on the Search Bar, and typing Pre-Verification Claims Form; opening the Form and filling in their details. They can also do so by clicking the link: https://ndic.gov.ng/ndic-pre-verification-claims-form/ or by visiting any of the NDIC offices closest to them to file their claims.
For further enquiries, the corporation can be reached on any of the following lines: 09037273810, 09038197064, 08104220807, 09064657140.
By Adedapo Adesanya
Nigeria’s Bank Verification Number (BVN) enrolment has slowed significantly in 2026 following the introduction of a stricter regulatory framework by the Central Bank of Nigeria (CBN), with the latest data from the Nigeria Inter-Bank Settlement System (NIBSS) showing that registrations are on course to fall well below last year’s record.
The BVN database stood at 69.55 million as of July 5, 2026, up from 69.32 million in June, indicating that only 228,947 new registrations were recorded over the period. Since the end of 2025, when the database stood at 67.8 million, total enrolments have increased by 1.75 million.
At the current pace, however, BVN registrations are unlikely to match the 4.3 million new enrolments recorded in 2025, suggesting a sharp deceleration in growth this year.
The slowdown comes after the CBN introduced a revised BVN regulatory framework in March, with the new rules taking effect on May 1, 2026. The framework tightened controls around enrolment, identity verification and fraud monitoring as part of efforts to strengthen the integrity of the banking system.
Among the key changes was the introduction of a minimum enrolment age of 18 years, effectively preventing minors from registering for a BVN.
The new framework also limits customers to a one-time change of the phone number linked to their BVN and requires financial institutions to place BVNs linked to suspected fraudulent transactions on a temporary watch-list for up to 24 hours while investigations are carried out.
The stricter rules contrast with last year’s surge in registrations, which was largely driven by the introduction of the Non-Resident Bank Verification Number (NRBVN) initiative that enabled Nigerians in the diaspora to complete BVN enrolment remotely, removing physical barriers and expanding access to the financial system.
Launched on February 14, 2014, the BVN scheme was introduced by the CBN in collaboration with the Bankers’ Committee, NIBSS and German technology firm Dermalog to assign every bank customer a unique biometric identity that can be verified across Nigeria’s banking industry.
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