After Launching FX Code, CBN Set to Introduce Compliance Department
- By the end of February 2025, the apex bank will have a new compliance department
- This has been carried out in an effort to address previous issues and conform to international norms
- The development came after the CBN spoke on introducing the foreign exchange code
Legit.ng journalist Zainab Iwayemi has 5 years of experience covering the Economy, Technology, and Capital Market.
A new compliance department will be established within the apex bank by the end of February, according to announcements made by Olayemi Cardoso, governor of the Central Bank of Nigeria.
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Cardoso revealed this on Thursday, January 23rd when he gave the keynote speech at the Nigerian Economic Summit Group's 2025 macroeconomic forecast launch.
He stated,
“The CBN has taken the transformative step of setting up a Compliance Department with the objective of addressing past challenges, aligning with global standards, and building a more transparent and resilient financial sector that can drive Nigeria’s economic growth and development. This department will be inward-facing and outward-facing as well. The department will be functional by the end of February, so I advise you to stay tuned.”
The CBN governor added that the introduction of a foreign exchange code would guarantee that the market functions in a fair and open manner by giving clear instructions on what is expected of market participants.
“We will also prioritise exchange rate stability to foster a more competitive business environment, encourage the inflow of foreign investment, and, in addition, support fiscal operations in critical sectors of the economy. The CBN will continue to strengthen financial institutions to enable them to effectively support the real sector,” he stated.
Recall that the CBN recently approved the release of the Nigerian Foreign Exchange Code, which is billed for launch on January 28, 2025.
The new code will serve as a rulebook for the banking industry to boost the ethical conduct of authorised FX dealers in the Nigerian Foreign Exchange market (NFEM).
CBN disclosed that it will launch the code at its head office auditorium in Abuja on Wednesday, January 28, 2025.
In November 2024, the apex bank introduced the revised guidelines for the NFEM to boost governance and transparency.
An essential feature of the guideline requires bank bosses, their CEOs and Chief Compliance Officers to adhere to the FX Code of Ethics and Conduct.
CBN opens whistleblower website
Legit.ng earlier reported that the Central Bank of Nigeria announced the launch of an externally hosted platform for whistleblowers on January 1, 2024.
The bank’s initiative aligned with its commitment to fostering a culture of integrity, transparency, and operational excellence within its ranks in the Nigerian financial ecosystem.
The apex bank disclosed this in a document in its latest update for December 2024, saying that the platform is a significant step toward creating a safe environment for employees, vendors, consultants, executives, and other stakeholders to report personal and professional misconduct, unethical behaviour, or violations.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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