By Oluwakemi Kindness
The Central Bank of Nigeria (CBN) has made the supervision of terrorism financing risks a priority as part of efforts to prevent the country’s financial system from being exploited by illicit actors.
The apex bank said its supervisory activities would focus on how financial institutions identify, assess and manage terrorism financing risks, as well as how they monitor and report transactions suspected to be linked to terrorism financing.
The CBN also said it would assess financial institutions’ implementation of targeted financial sanctions and their compliance with requirements for reporting suspicious transactions associated with terrorism financing.
The bank disclosed this in a statement signed by its Acting Director of Corporate Communications and Investor Relations, Hakama Sidi-Ali, on Tuesday.
Sidi-Ali said the CBN would continue to apply a risk-based approach, including on-site and off-site supervision, to strengthen anti-money laundering, counter-financing of terrorism and counter-proliferation financing controls across the financial sector.
According to the CBN, the measures are being implemented in line with existing laws and regulatory requirements, while supporting Nigeria’s domestic and international efforts to combat terrorism financing and proliferation financing and safeguard the integrity of the financial system.
The apex bank added that further supervisory engagements would be undertaken as necessary.
