Risk Institute backs CBN’s tighter digital banking rules

The Chartered Risk Management Institute of Nigeria has endorsed new regulatory measures introduced by the Central Bank of Nigeria (CBN) to strengthen security in the country’s digital payments ecosystem.

In a statement on Saturday, the Institute’s President, Kevin Ugwoke, described the framework as a timely intervention to address rising threats such as fraud, identity theft, and unauthorised access linked to electronic banking platforms.

The institute highlighted key safeguards in the new policy, including a ₦20,000 transaction limit on newly activated mobile banking apps within the first 24 hours, mandatory device binding, and the use of real-time fraud monitoring systems.

According to CRMI, these measures are targeted at the critical onboarding stage of digital banking, when accounts are most vulnerable to compromise.

“By limiting transaction exposure during the high-risk activation window, the framework significantly reduces opportunities for fraud,” the institute stated.

The move comes amid rapid growth in Nigeria’s digital payment space, driven by increased adoption of mobile banking and fintech services. However, this expansion has also seen a surge in cyber threats such as SIM swap fraud, phishing, and account takeovers.

The CBN’s latest directive builds on earlier regulations aimed at enhancing consumer protection, strengthening cybersecurity, and improving operational resilience across banks and payment service providers.

CRMI also welcomed the introduction of the Nigerian Overnight Financing Rate, noting that it would improve transparency in short-term funding costs and enhance the effectiveness of monetary policy.

While backing the reforms, the institute urged financial institutions to ensure proper implementation by upgrading cybersecurity systems, improving fraud detection, and investing in staff training and customer awareness.

It reaffirmed its commitment to supporting regulatory efforts through advocacy, professional training, and collaboration as Nigeria continues its transition to a technology-driven financial system.