The Central Bank of Nigeria (CBN) has directed banks and other financial service providers to introduce a temporary watchlist for Bank Verification Numbers (BVNs) linked to suspicious transactions. The directive, which will take effect from May 1, 2026, is part of the regulator’s effort to strengthen oversight and improve the security of Nigeria’s banking system.
The new guideline was communicated in a circular addressed to banks, financial institutions and payment service providers. The notice, titled “Addendum to the Revised Regulatory Framework for BVN Operations and Watchlist for the Nigerian Banking Industry 2021,” was signed by Musa Jimoh, Director of the Payments System Policy Department at the apex bank.
Under the revised directive, financial institutions are required to create and maintain a temporary watchlist for BVNs connected to transactions suspected to be fraudulent and reported by any financial institution. Once a BVN is placed on the watchlist, it can remain there for up to 24 hours.
During this period, the individual linked to the BVN will be contacted by the relevant financial institution to provide clarification regarding the transaction that triggered the alert. The measure is intended to allow banks quickly investigate suspicious activity while ensuring that legitimate customers have an opportunity to explain the transaction.
The circular also introduced new conditions regarding BVN registration and updates to contact details. According to the regulator, only individuals who are at least 18 years old are eligible to enroll for a BVN.
In addition, the CBN stated that phone numbers linked to a BVN can only be changed once. This restriction is designed to reduce the risk of fraud that may arise from repeated alterations of contact information associated with bank accounts.
Furthermore, access to the BVN database will remain limited strictly to financial institutions licensed by the Central Bank. However, the regulator noted that it may grant access in exceptional circumstances, provided such approval aligns with existing legal provisions.
The updated measures are expected to enhance fraud monitoring and strengthen confidence in Nigeria’s financial system once they come into effect on May 1, 2026.
