- The Central Bank of Nigeria is continuing its push to ensure financial institutions are not havens for criminals
- In its latest move, the CBN has asked banks and other financial institutions to demand social media handles of customers
- CBN hopes the move will enhance its fight against money laundering, terrorism financing, and proliferation financing.
The Central Bank of Nigeria has asked all financial institutions, including commercial banks, to collect and verify customers’ social media handles as part of their Know Your Customer (KYC) requirements.
The new directive applies to both individuals’ and legal entities’ customers as captured in CBN’s Customer Due Diligence Regulations for 2023, obtained by CrossRiverHub.ng
The CBN hopes that the social media handles will enhance financial institutions’ accuracy and depth of customer identification.
Part of the CBN directive reads:
“FIs shall identify their customer (whether permanent or occasional, and whether natural or legal persons or legal arrangements)”
Here is a list of what banks will demand from individual customers
- Legal name and any other names used (such as maiden name)
- Permanent address (full physical address)
- Residential address (where the customer can be located)
- Telephone number, e-mail address, and social media handle
- Date and place of birth
- Bank Verification Number (BVN)
- Tax Identification Number (TIN)
- Nationality
- Occupation, public position held, and name of employer an official personal identification number or other unique identifier contained in an unexpired document issued by a government agency, that bears a name, photograph and signature of the customer such as a passport, national identification card, residence permit, social security records or drivers’ license.
For Legal entities which are companies, firms CBN wants banks to demand the following:
- Name of institution
- Mailing address
- E-mail and social media address
- Phone numbers
- Registration number
- Registered address
- Business address
- Valid identification, such as tax identification number
- Nature and purpose of business or activities
- Certified true copy of documentary evidence confirming legal existence, such as a certificate of incorporation
- Certified true copy of memorandum and articles of association or other similar documents
- Certified true copy of the list of directors and shareholders or similar documents
- Board resolution to open the account
- Identification of those who have authority to operate the account.
CBN issues 4 new directives to Access, Zenith, GTB on domiciliary bank accounts
Meanwhile, in another report, the CBN has released six new directives on how domiciliary bank accounts should operate in the country
The move is aimed at promoting transparency, discouraging speculation, and ensuring overall stability in the forex market
Access, Zenith, and Guaranty Trust among several other commercial banks are expected to make make the necessary adjustments
