The Central Bank of Nigeria is reinforcing regulatory compliance and risk management within the financial sector through targeted training and adherence to global standards. Key figures emphasized the importance of robust governance frameworks and compliance protocols to combat financial crime and ensure institutional integrity. This initiative aligns with the CBN’s commitment to maintaining a resilient financial system.
The Central Bank of Nigeria (CBN) is enhancing its regulatory framework to ensure the nation’s financial system remains transparent and resilient. This initiative involves strict compliance and effective risk management across all financial institutions in Nigeria. At a recent training workshop in Lagos, Shola Phillips, the Special Adviser to the CBN Governor, emphasized the importance of adhering to global banking standards to maintain confidence in the financial sector.
Phillips pointed out that financial institutions are expected to develop dynamic, risk-based Anti-Money Laundering (AML) and Counter Financing of Terrorism (CFT) programs tailored to the changing financial landscape. She stated, “Proactive engagement with regulatory developments and the integration of innovative compliance solutions are essential for institutions to meet these expectations effectively.” This training, which targeted compliance officers and banking teams, highlighted current global regulatory trends and risks.
Siobhan Ni Ealaithe, the Managing Director of Citi’s Correspondent Banking Group, highlighted the importance of robust governance frameworks to tackle financial risks. She underscored the necessity of implementing Know Your Customer (KYC), Know Your Business (KYB), and Know Your Transaction (KYT) protocols to deter illicit financial activities. These safeguards are crucial components in bolstering the integrity of financial operations.
Stephanie Bailey, the Head of EMEA AML Risk Management for Foreign Correspondent Banking, provided insights into the scale of financial crime, noting that over $3 trillion in illicit funds circulate globally each year. She encouraged institutions to enhance due diligence practices, utilize technology for risk assessments, and maintain transaction transparency. This reflects the growing requirement for financial entities to protect themselves against evolving threats.
This workshop is consistent with CBN Governor Olayemi Cardoso’s strategy to enforce regulatory excellence and strengthen the country’s financial framework. As Cardoso has stated: “A strong financial system is built on trust, and trust is earned through integrity and compliance.” The CBN remains committed to establishing high regulatory standards to safeguard Nigeria’s financial ecosystem in line with global best practices.
By promoting a robust culture of compliance and enhancing risk management frameworks, the CBN aims to fortify Nigeria’s financial sector. This initiative is geared towards ensuring its durability and credibility both locally and internationally.
The CBN’s recent workshop underscores its commitment to a transparent and resilient financial system by improving regulatory compliance and risk management. It emphasizes strong governance and modern AML practices to mitigate risks and enhance institutional accountability. These efforts are crucial not only for protecting Nigeria’s financial sector but also for maintaining global trust in its operations.
Original Source: thewhistler.ng
