By Emmanuel Kwada
On February 17, 2025, the Central Bank of Nigeria (CBN) issued a significant circular to all banks and other financial institutions, outlining new guidelines for the management of dormant accounts, unclaimed balances, and other financial assets. This directive, signed by Michael C. Akuka, Director of the Financial Policy and Regulation Department, mandates banks to publish details of dormant accounts on their websites.
According to the circular, banks are required to list the names of individuals authorized to operate these accounts, the type of account, and the address of the branch where the account is domiciled. For other financial institutions (OFIs) without websites, this information must be published on their association’s website. This move is in response to concerns regarding compliance with the Nigeria Data Protection Act, 2023 (NDPA).
The CBN has emphasized that these guidelines are in line with Section 25 (b) of the NDPA, which allows for justifiable deviations from general privacy principles, and Section 72 (ii) of the Banks and Other Financial Institutions Act, which empowers the CBN to regulate the administration of unclaimed funds.
Banks are required to publish this information annually in at least two national daily newspapers or on the premises of State and Unit microfinance banks, ensuring transparency and public awareness regarding dormant accounts
Additionally, banks are required to publish this information annually in at least two national daily newspapers or on the premises of State and Unit microfinance banks, ensuring transparency and public awareness regarding dormant accounts.
This development is expected to enhance the management and eventual resolution of dormant accounts, providing clarity and potentially reuniting owners with their lost or forgotten assets. Stakeholders are advised to review the guidelines and comply accordingly to avoid any legal repercussions.
