THE Central Bank of Nigeria (CBN) has said its newly established Compliance Department would focus on financial crime supervision and monitoring of counter-terrorism financing.
The department also focuses on enhancing regulatory oversight and strengthening surveillance across the banking and financial services sector.
According to the CBN, the creation of the department is part of broader structural reforms aimed at consolidating regulatory effectiveness, clarifying institutional responsibilities, and strengthening oversight of non-prudential and emerging risks within the financial system.
The apex bank disclosed this in a letter referenced /DIR/PUB/CIR/001/002, dated September 4, 2025, addressed to all banks, payment service banks, and other financial institutions, as defined under the Banks and Other Financial Institutions Act (BOFIA) 2020.
The letter was signed by Olubunmi Ayodele-Oni for the Director of the Compliance Department.
The apex bank, in the letter, informed regulatory institutions that the Compliance Department was officially established in the first quarter of 2025.
Upon the commencement of operations in the second quarter, supervisory responsibility for non-prudential risk areas was officially reassigned to the department.
“The department has assumed oversight of financial crime supervision, encompassing anti-money laundering, counter-terrorism financing, counter-proliferation financing, and sanctions compliance,” the letter stated.
“It is also responsible for market conduct supervision, covering disclosure practices, complaints management frameworks, and advertising standards,” it added.
The department oversees enterprise security supervision, including cybersecurity, data protection, and third-party risk management.
It further takes charge of corporate governance and oversight, including board effectiveness and environmental, social, and governance risks considerations.
Accordingly, the CBN directed that all regulatory reports, correspondence, and inquiries related to these areas should be addressed to the Director, Compliance Department, through the established communication channels.
The apex bank also stated that financial institutions would receive further details directly from the department regarding specific contact points and submission procedures for inquiries.
It expressed appreciation for the continued cooperation of all institutions in ensuring a smooth transition and in upholding the highest standards of compliance with applicable regulatory requirements.
Harrison Edeh is a journalist with the International Centre for Investigative Reporting, always determined to drive advocacy for good governance through holding public officials and businesses accountable.