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CBN revises guidelines, imposes N5m minimum fine on unapproved agent banking activities.
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Entities operating without Super Agent licence risk N10m penalty plus daily charges.
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CBN warns defaulters will forfeit profits and face sanctions on directors or managers involved.
The Central Bank of Nigeria (CBN) has introduced stricter penalties to curb illegal agent banking operations across the country, announcing that offenders will face a minimum fine of ₦5 million, alongside ₦100,000 daily charges until compliance is achieved.
CBN outlines stiffer penalties
According to the revised Agent Banking Guidelines, agents found engaging in non-permissible activities will also forfeit any profit earned from such operations. Entities operating without a valid Super Agent licence will be fined ₦10 million, with an additional ₦200,000 daily penalty until the breach is rectified.
READ ALSO: CBN bars debtors, blacklisted BVNs from operating as PoS agents
The circular further stipulates that failure to secure CBN’s approval or ‘No Objection’ attracts ₦2 million fines for both the financial institution and every responsible director or senior management staff. Similarly, any institution that fails to maintain proper accounting records will be fined not less than ₦5 million, while culpable officers will pay ₦2 million each.
CBN lists banned activities
Under the new rules, the following are classified as non-permissible agent banking practices:
Super Agents performing direct agent banking functions.
Agents engaging in account opening, loan underwriting, investment, or forex services.
Delegating authorised activities to third parties.
Using non-human or automated systems to deliver agent services.
Any other unauthorised actions as determined by the CBN.
The apex bank also ruled that individuals or companies with non-performing loans (NPLs) within the last 12 months, bankrupt persons, or BVN watch-listed individuals are disqualified from serving as agent bankers.
