Anti-Money Laundering And Combating The Financing Of Terrorism Policy and Procedure Manual

Background

The Central Bank of Nigeria Act 2007 (as amended) enumerated the core functions of the Bank as follows;

1. Ensure monetary and price stability;
2. Issue legal tender currency in Nigeria:
3. Maintain external reserves to safeguard the international value of the legal tender currency;
4. Promote a sound financial system in Nigeria and;
5. Act as Banker and provide economic and financial advice to the Federal Government.

In carrying out these core mandates, the CBN has over the years performed some major developmental functions, focused on all the key sectors of the Nigerian economy (financial, agricultural and industrial sectors, etc.) to promote sound financial system. The role of the CBN as a Banker to the Federal Government entails offering financial advice and maintenance of accounts for Ministries, Departments and Agencies of government. The Bank also maintains accounts for financial institutions within Nigeria and with financial institutions outside Nigeria.

Objective

The objective of this AML/CFT Manual is to set out policies and procedures to guide employees and the Bank to conduct business in accordance with applicable Anti-Money Laundering (AML) laws and regulations. The manual aims to establish procedures and minimum standards to protect the CBN from being used as a channel to launder money, finance terrorism and other forms of financial crimes.

Scope

The CBN AML/CFT Manual sets minimum standards for employees of the Bank to comply with AML/CFT laws and regulations in the following broad areas:

1. Conduct of financial services;
2. Dealings with third-party beneficiaries (such as consultants and contractors); and

iii. Employees conduct.

This manual is guided by the Money Laundering Prohibition Act 2011, Terrorism Prevention Act 2011 and other applicable relevant laws and regulations.