The Central Bank of Nigeria (CBN) has issued new regulations requiring commercial banks to collect additional customer information, including social media handles, e-mail addresses, telephone numbers, residential addresses, and other personal details.
The purpose of these regulations, outlined in the ‘Central Bank of Nigeria (Customer Due Diligence) Regulations, 2023,’ is to enhance the identification process in the banking system and ensure compliance with anti-money laundering and counterterrorism financing measures.
The CBN’s directive applies to all financial institutions under its supervision. The aim is to enforce compliance with customer due diligence measures as specified in the Money Laundering (Prevention and Prohibition) Act (MLPPA), 2022, Terrorism (Prevention and Prohibition) Act (TPPA), 2022, Central Bank of Nigeria (Anti-Money Laundering, Combating the Financing of Terrorism and Countering Proliferation Financing of Weapons of Mass Destruction in Financial Institutions) Regulations, 2022 (CBN AML, CFT and CPF Regulations), and international best practices.
Regarding customer identification, financial institutions must collect the following information for individuals: legal name and any other names used, permanent address, residential address, telephone number, e-mail address, social media handle, date and place of birth, Bank Verification Number, Tax Identification Number, nationality, occupation, public position held, and name of employer.
The CBN also specified that individuals must provide an unexpired passport, national identification card, residence permit, social security records, or driver’s license as proof of identification.
Additionally, financial institutions are required to collect information about the type of account, nature of the banking relationship, signature, and politically exposed person status.
These regulations reflect the CBN’s efforts to strengthen customer due diligence measures and combat financial crimes by gathering comprehensive customer information
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