Nigeria’s Central Bank Issues Guidelines for Management of Dormant Accounts and Unclaimed Balances

The Central Bank of Nigeria (CBN) has released revised guidelines for managing dormant accounts, unclaimed balances, and other financial assets in banks and other financial institutions. 

In a statement, the CBN said the directive is aimed at standardising the procedures and ensuring better management of these accounts.

This revision follows the conclusion of a comprehensive review of the previous guidelines issued in October 2015. 

The new guidelines operationalise Section 72 of the Banks and Other Financial Institutions Act (BOFIA) 2020, reflecting the input and recommendations from extensive engagement and consultations with relevant stakeholders.

Key aspects of the revised guidelines include standardised procedures for managing dormant accounts, unclaimed balances, and financial assets. 

They also detail the processes for administering these balances, funds, and assets within banks and other financial institutions across Nigeria.

Additionally, the CBN will later provide the modalities for transferring relevant balances, funds, and assets to the central bank. 

Updated templates for the quarterly returns submission to either the Banking Supervision Department or the Other Financial Institutions Supervision Department will also be communicated in due course.

These revised guidelines supersede the previous ones from October 2015 and are effective immediately.

Signed by John S. Onojah, the Acting Director of the Financial Policy and Regulation Department of CBN, the issuance of these guidelines indicate a step towards improved financial asset management in Nigeria’s banking sector.