Regulatory Alerts2014-09-19 | BPS/DIR/GEN/CIR/013Circular on the Acceleration of Bank Verification Number Project
The Central Bank of Nigeria, in collaboration with the Bankers' Committee, has implemented the Bank Verification Number (BVN) project to improve the Nigerian payments system. By March 2015, transactions valued at N100 million and above must only be allowed for customers with a BVN. All bank customers should have the BVN by June 2015, otherwise they will be considered to have inadequate Know Your Customer (KYC) information. The Central Bank of Nigeria will monitor compliance and sanction defaulters accordingly.
BANKING AND PAYMENTS SYSTEM DEPARTMENT CENTRAL BANK OF NIGERIA Central Business District P.M.B. 0187.
Garki, Abuja.
+234 - 0946238445 REF: BPS/DIR/GEN/CIR/01/013 September 18, 2014 To: All Deposit Money Banks CIRCULAR ON THE ACCELERATION OF BANK VERIFICATION NUMBER (BVN) PROJECT In furtherance of its efforts in the development of a safe, reliable and efficient payments system in Nigeria, the Bank in conjunction with the Bankers' Committee, undertook some major initiatives. One of such was the launching of the Bank Verification Number (BVN) Project in February 2014, which is being sponsored by the Bankers Committee. The Central Bank of Nigeria has observed the progress made so far in the implementation of the BVN Project. In order to increase the tempo in the enrolment by the Deposit Money Banks (DMBs) customers on the BVN, and to start coupling the enormous benefits of the project, it is imperative to stipulate milestones for the implementation of the Project.
Consequently, all stakeholders are hereby advised to note and implement the following: a. That by March 2015, transactions valued at N100,000,000.00 (One hundred million Naira) and above, should only be allowed for customers with the BVN; (These include, but not limited to, money transfers, loans, contingencies, etc) b. That by June 2015, all banks' customers should have the BVN. Any bank customer without the BVN would be deemed to have inadequate KYC; c. DMBs should intensify efforts to sensitize their customers on the aforementioned development and enrol them for the BVN accordingly.
d. DMBs are required to submit to NIBSS, as part of their weekly returns on Customers Account Details, the account status of customers that have submitted their BVN and those that have not. NIBSS in turn, will render consolidated returns to the CBN, on weekly basis, starting from 1st October 2014.
Please note that the Central Bank of Nigeria will monitor compliance with the requirements of this circular, and defaulters will be sanctioned.
dra. 19 'DIPO FATOKUN Director, Banking and Payments System Department