CBN Issues Warning to BDCs Against Money Laundering
The Central Bank of Nigeria (CBN) has warned Bureau De Change operators across the country of severe sanctions for failing to comply with anti-money laundering and terrorism financing regulations.
In a circular dated April 17, 2025, and signed by Amonia Opusunju for the Director of the Compliance Department, the apex bank announced that it would commence “mystery shopping exercises with immediate effect.”
According to the CBN, the initiative is part of efforts to combat money laundering, terrorism financing, proliferation financing, and other illicit financial activities.
The mystery shopping will involve the deployment of anonymous compliance testers to assess how well BDCs are implementing relevant regulations.
“As part of its enhanced efforts to combat money laundering, the financing of terrorism, proliferation financing, and other illicit financial activities, the Central Bank of Nigeria hereby notifies all Bureaux de Change operators in Nigeria that it will commence mystery shopping exercises with immediate effect.
“This initiative will complement existing supervisory activities, including routine and targeted examinations, as well as spot checks. Mystery shopping will involve the deployment of anonymous compliance testers to assess the practical implementation of Anti-Money Laundering/Combating the Financing of Terrorism and Counter Proliferation Financing obligations by BDCs. This includes ensuring adequate customer identification, adherence to proper Know-Your-Customer procedures, and reporting suspicious transactions,” the CBN stated.
The bank reminded operators that they are required to fully comply with the provisions of the Money Laundering (Prevention and Prohibition) Act, 2022, the Terrorism (Prevention and Prohibition) Act, 2022, and the Regulatory and Supervisory Guidelines for Bureau De Change Operators in Nigeria, 2024.
“Failure to comply with AML/CFT/CPF obligations, including lapses identified through mystery shopping, will attract severe regulatory sanctions, including monetary penalties and/or revocation of operating licenses,” the apex bank warned.
CBN further advised all BDCs to ensure that their “operations, staff training, transaction monitoring, and customer onboarding procedures are always fully compliant with applicable requirements.”
It added, “For the avoidance of doubt, full responsibility for compliance rests with each licensed BDC.”
