CBN Establishes New Compliance Unit to Enhance Bank Supervision

The Central Bank of Nigeria (CBN) has created a dedicated Compliance Department to improve supervision of financial institutions and bolster the fight against risks within the nation’s banking sector. The new unit, which became operational in the second quarter of 2025, will now oversee areas previously managed by different CBN departments, centralizing oversight to address emerging threats.

According to the department’s director, Olubunmi Ayodele-Oni, the move is a strategic part of the CBN’s effort to create clearer and more effective regulations. The new department’s mandate includes a wide range of responsibilities aimed at strengthening regulatory frameworks:

• Supervision of financial crimes, including money laundering and terrorism financing.
• Oversight of market conduct, which covers how banks handle customer complaints and advertising.
• Enterprise security, with a focus on cybersecurity, data protection, and third-party risks.
• Corporate governance and ESG (Environmental, Social, and Governance) compliance.

The CBN has directed that all regulatory reports and inquiries on these subjects should now be submitted to the new Compliance Department. This change is expected to provide a single point of coordination for commercial banks, payment service banks, and other financial institutions, ensuring a smoother process and upholding the highest standards of compliance within the Nigerian financial system.