BVN, NIN Sanction banks, not customers, expert urges CBN

A financial expert, Mr Okechukwu Unegbu, has urged the Central Bank of Nigeria (CBN) to sanction banks that allow customers to operate accounts without their BVN and NIN. Unegbu, a past president of the Chattered Institute of Bankers of Nigeria (CIBN), said this in an interview with the News Agency of Nigeria (NAN) on Sunday in Abuja. He spoke against the backdrop of the recent directive by the apex bank to freeze  all bank accounts without a Bank Verification Number and National Identification Number from April, 2024. The News Agency of Nigeria (NAN) reports that the directive was contained in a recent circular issued by the CBN to all Deposit Money Banks (DMBs).

The circular was jointly signed by the Directors, Payments System Management Department, Chibuzo Efobi, and Financial Policy and Regulation Department, Haruna Mustapha. The apex bank also directed that all the BVN or NIN associated with all accounts/wallets must be electronically revalidated by January 31, 2024. It said the directive was part of efforts to promote financial system stability and strengthen the Know Your Customer (KYC) procedures in all financial institutions. According to Unegbu, the apex bank should spare the account holders and impose heavy sanctions on the DMBs. “It is the fault of the DMBs; instead of punishing the customers, the CBN should sanction the banks heavily. They were instructed to ensure that every account holder had the BVN and NIN, but they failed to comply because of the greed to have deposits,” he said. (NAN)