CBN Ordered all banks to get their customers’ social media handles. The CBN released its Customer Due Diligence Regulations 2023 document. The document states that the collection of customers’ Email addresses, telephone numbers and social media is compulsory.
In a disclosed regulations document, the Central Bank of Nigeria made social media handling compulsory KYC requirements for bank customers.
The apex bank stated that the purpose of doing this is to enhance the accuracy & depth of customer identification.
The CBN said the regulation is necessary,
“To provide additional customer due diligence measures for financial institutions under the regulatory purview of the Central Bank of Nigeria to further their compliance with relevant provisions of 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.
“And enable the CBN to enforce compliance with customer due diligence measures in line with the CBN AML, CFT, and CPF Regulations.”
Under the CBN KYC regulations, it mandates commercial banks to use technology to monitor customers’ transactions. ` with a view to preventing financial-related crimes.
“Financial institutions are required to have robust, effective, and efficient AML/CFT solutions. The solutions should have screening tools in place that will monitor the various thresholds. No matter how low the transactions or the risks, all accounts must go through continuous suspicious transaction monitoring by financial institutions. This will determine when incremental KYC requirements need to be provided by the customers,” the CBN said.
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