The Central Bank of Nigeria (CBN) has warned Nigerian banks to be cautious when dealing with foreign transactions.
Daily Report Nigeria reports that the CBN particularly warned commercial banks regarding transactions with companies and individuals from the Russian Federation, North Korea, Iran, and Cameroon.
The warning was contained in a circular issued by Fiscal Policy and Regulatory Director, Mr Chibuzo Efobi on Friday.
According to the circular, the aforementioned countries were on the list of high-risk areas by the Financial Action Task Force (FATF).
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The FATF was the global money laundering and terrorist financing regulator. It sets international standards to prevent such illegal activities and the harm they cause to society.
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The list also included the Democratic People’s Republic of Korea, Croatia, Vietnam, and Myanmar.
CBN maintained that the measures were based on decisions taken by FATF members at a plenary session in June.
Part of the circular read;
“The attention of banks and other Financial Institutions is drawn to the outcomes of the Financial Action Task Force Plenary conducted from June 21-23, 3023 and the subsequent addition of Cameroon, Croatia and Vietnam to the list of jurisdictions under ‘Increased Monitoring.’
“Furthermore, Democratic People’s Republic of Korea, Iran and Myanmar remain on the list of high-risk jurisdictions, subject to ‘Call for Action.’
“Consequently, enhanced due diligence should be applied, and in severe cases, counter-measures may need to be implemented to safeguard the international financial system.
“Additionally, we would like to emphasise that the suspension of the Russian Federation from the FATF remains in effect.”
