CBN Tightens the Noose on Terror Financing

The Central Bank of Nigeria (CBN) has directed banks and other financial institutions to immediately freeze the accounts of individuals and organisations suspected of financing terrorism as part of renewed efforts to combat insecurity, banditry, kidnapping and other violent crimes across the country.

The directive was contained in a circular signed by Olubunmi Ayodele-Oni on Thursday. According to the apex bank, the action follows recent designations and sanctions issued by the Nigeria Sanctions Committee and the United States Treasury Department’s Office of Foreign Assets Control (OFAC).
The CBN instructed financial institutions to identify and place restrictions on all accounts, funds and other financial assets linked to the designated individuals and organisations in line with Nigeria’s anti-terrorism financing regulations.
The move comes as security agencies intensify efforts to dismantle the financial networks that sustain terrorist groups, bandits, kidnappers and other criminal elements responsible for persistent attacks across the country. Authorities believe denying such groups access to funds is essential to weakening their operations and improving national security.
The apex bank also directed affected institutions to strictly comply with the sanctions regime and promptly report all actions taken to the appropriate regulatory authorities.
The latest directive highlights the government’s commitment to strengthening financial surveillance, preventing the misuse of the banking system for illegal activities and supporting ongoing efforts to restore peace and stability across Nigeria.