The Central Bank of Nigeria (CBN) has directed banks and other financial institutions to immediately freeze accounts and financial assets linked to individuals and entities designated for alleged involvement in terrorism financing.
The directive was contained in a circular signed by Olubunmi Ayodele-Oni, a senior official of the apex bank, and addressed to all banks, payment service providers and other regulated financial institutions.
According to the CBN, the instruction follows recent designations issued by the Nigeria Sanctions Committee (NSC) and the United States Department of the Treasury’s Office of Foreign Assets Control (OFAC). The designated individuals and entities have been identified under sanctions frameworks aimed at combating terrorism financing and related activities.
The apex bank directed financial institutions to identify all accounts, funds and other assets belonging to the sanctioned persons and entities and place them under immediate restriction in line with existing anti-money laundering and counter-terrorism financing regulations.
Under the directive, affected financial institutions are required to freeze all assets associated with the designated individuals or organisations without prior notice and prevent any transactions involving such accounts. They are also expected to report compliance actions taken to the relevant regulatory and law enforcement authorities.
The CBN emphasized that the measure is part of Nigeria’s commitment to strengthening its anti-money laundering and counter-terrorism financing regime and ensuring compliance with both domestic and international sanctions obligations.
The move comes amid ongoing efforts by Nigerian authorities to disrupt financial networks linked to terrorism, banditry and other forms of organised crime. Security agencies have repeatedly warned that financial flows remain a critical enabler of terrorist activities and violent extremism.
Analysts say the directive underscores the increasing collaboration between Nigerian authorities and international partners in tracking and restricting funds suspected to be connected to terrorism-related activities.
The CBN reminded financial institutions of their obligations under the Terrorism (Prevention and Prohibition) Act, anti-money laundering regulations and other relevant laws, warning that failure to comply with sanctions directives could attract regulatory penalties.
While the directive affects only individuals and entities formally designated under applicable sanctions frameworks, the apex bank urged financial institutions to strengthen customer due diligence, transaction monitoring and risk management systems to prevent the misuse of the financial system for illicit purposes.
The latest action forms part of broader efforts by the federal government and financial regulators to safeguard the integrity of Nigeria’s financial system and enhance national security.
