By strengthening regulatory compliance and risk management throughout Nigerian financial institutions, the Central Bank of Nigeria (CBN) has reaffirmed its dedication to upholding a transparent and robust financial system.
Ms. Shola Phillips, Special Adviser to the CBN Governor on Compliance, spoke at a high-level Mandatory Compliance and Anti-Money Laundering (AML) training workshop in Lagos organized in partnership with Citi. She emphasized the importance of rigorous adherence to international banking standards in order to maintain trust in Nigeria’s financial sector.
Regulators anticipate that financial institutions will continue to run risk-based, dynamic AML/CFT programs that adapt to the changing financial landscape. For institutions to successfully meet these expectations, proactive involvement with regulatory developments and the incorporation of creative compliance solutions are crucial, Phillips said.
Compliance officers, trade operations specialists, and correspondent banking teams from a range of financial institutions participated in the training, which offered vital insights into new financial risks, global regulatory trends, and methods for maintaining correspondent banking relationships.
The managing director of Citi’s Correspondent Banking Group, Siobhan Ni Ealaithe, emphasized the importance of strong governance frameworks in risk mitigation. She emphasized the importance of Know Your Business (KYB), Know Your Transaction (KYT), and Know Your Customer (KYC) procedures in stopping illegal financial activity.
Over $3 trillion in illicit funds pass through the global financial system every year, according to Stephanie Bailey, Head of EMEA AML Risk Management for Foreign Correspondent Banking, who gave a sobering assessment of the risks associated with financial crime. She called on financial institutions to use technology-driven risk assessments, improve due diligence procedures, and maintain transaction transparency.
The workshop supports CBN Governor Olayemi Cardoso’s goal of bolstering Nigeria’s financial system and maintaining regulatory excellence. “A robust financial system is founded on trust, and trust is earned through integrity and compliance,” Governor Cardoso has repeatedly emphasized. To safeguard Nigeria’s financial system and guarantee that it complies with international best practices, the CBN will keep enforcing strict regulations.
The CBN seeks to protect Nigeria’s financial sector while guaranteeing its resilience and credibility both domestically and internationally by establishing a strong culture of compliance and fortifying risk management frameworks.
