CBN Freezes Accounts Over Terrorism Financing Allegations

The Central Bank of Nigeria (CBN) issued a directive to financial institutions to immediately freeze the accounts of six individuals and four Bureau de Change (BDC) operators due to allegations of terrorism financing. This order, referenced in a circular dated June 24, 2026, follows sanctions imposed by the U.S.

Department of the Treasury's Office of Foreign Assets Control (OFAC) against Nigerian entities, including Mukhtar Adamu and three BDC companies allegedly involved with the Islamic State West Africa Province (ISWAP). The sanctions took effect on June 18, 2026, and the CBN instructed financial institutions to comply without delay, identifying and freezing assets belonging to the designated individuals and entities.

Aminu Gwadeb, President of the Association of Bureau de Change Operators of Nigeria (ABCON), urged the public not to generalize allegations against the entire BDC industry, emphasizing that the majority of licensed BDCs comply with regulatory requirements.