The Central Bank of Nigeria, CBN has mandated financial institutions across the country to obtain the social media handles of their customers as part of the ‘know your customer’ (KYC) process.
The apex bank gave the new rule via the ‘Central Bank of Nigeria (Customer Due Diligence) Regulations, 2023’ document published on its website on Friday.
CBN also mandated financial institutions to obtain e-mail addresses, telephone numbers, and residential addresses, among other things, from customers.
Truth Live News reports that the new regulation is aimed at further strengthening the identification process in the banking system.
The apex bank
The new regulation was designed to provide additional customer due diligence measures for financial institutions under its regulatory purview, CBN said.
Also, “To provide additional customer due diligence measures for financial institutions under the regulatory purview of the Central Bank of Nigeria to further their compliance with relevant provisions of the Money Laundering (Prevention and Prohibition) Act (MLPPA), 2022, Terrorism (Prevention and Prohibition) Act (TPPA), 2022, Central Bank of Nigeria (Anti-Money Laundering, Combating the Financing of Terrorism and Countering Proliferation Financing of Weapons of Mass Destruction in Financial Institutions) Regulations, 2022 (CBN AML, CFT and CPF Regulations) and international best practices.
“And enable the CBN to enforce compliance with customer due diligence measures in line with the CBN AML, CFT and CPF Regulations.”
Under its customer identification column, the apex bank also pointed out that financial institutions must identify their customers (whether permanent or occasional, and whether natural or legal persons or legal arrangements) and obtain the following information.
“For Individuals — legal name and any other names used (such as maiden name), permanent address (full physical address), residential address (where the customer can be located), telephone number, e-mail address, and social media handle; date and place of birth, Bank Verification number; Tax Identification number; nationality; occupation; public position held; and name of employer.”
In the same vein, an individual must have “an official personal identification number or other unique identifier contained in an unexpired document issued by a government agency that bears the name, photograph, and signature of the customer, such as a passport, national :identification card, residence permit, social security records, or drivers’ license.”
Some of the requirements includes, “Type of account and nature of the banking relationship, and signature, and politically exposed person status.
The financial institutions shall not establish or keep anonymous accounts, numbered accounts, or accounts in fictitious names, CBN insisted.