The Central Bank of Nigeria (CBN) has announced plans to restrict transactions on bank accounts without Bank Verification Number (BVN) and National Identification Number (NIN) with effect from March 2024.
In a circular released on Friday, the apex bank said transactions above a certain threshold like transfers, withdrawals and other transactions will be blocked for accounts not linked with both BVN and NIN beginning March 2024. The circular was signed by both director, Payment System Management Department, Chibuzo Efobi, and director, Financial Policy and Regulation Department, Haruna Mustapha.
Speaking previously, CBN, said the decision was agreed upon by the Bankers’ Committee to improve financial inclusion and anti-money laundering controls. He explained it will help banks and financial institutions properly identify account holders, curb fraud and strengthen Nigeria’s AML/CFT regime in line with global standards.
With this new deadline of March 2024, the CBN is giving Nigerians and residents another set of months to complete the enrolment and linkage process before restrictions kick-in. Banks have also been directed to intensify enrollment to build the financial inclusion database before the commencement of restrictions next year.
Only time will tell if this stricter deadline will help enhance transparency in the financial system as targeted. Nigerians are advised to take advantage of the window and comply before March 2024.
