The Central Bank of Nigeria has introduced new measures aimed at strengthening the country’s financial security framework by tightening regulations guiding the Bank Verification Number system across the banking industry.
In a circular issued to financial institutions, the apex bank announced an addendum to its Revised Regulatory Framework for Bank Verification Number operations and watch-list procedures within Nigeria’s banking sector. The directive forms part of efforts by the regulator to enhance financial system stability and improve the monitoring of fraudulent transactions across banks and other financial service providers.
The circular, dated March 12, 2026, was signed by Musa I. Jimoh, Director of the Payments System Policy Department at the Central Bank of Nigeria. According to the document, the new measures will officially take effect from May 1, 2026, and will apply to banks, financial institutions and payment service providers operating within the country.
One of the major changes introduced in the new framework is the establishment of a temporary watch-list for BVNs suspected to be linked to fraudulent financial transactions. Under the new rule, financial institutions are required to place such BVNs on a temporary monitoring list for a period not exceeding twenty-four hours whenever suspicious activity is detected.
During that period, the bank that flagged the transaction is expected to immediately contact the owner of the BVN in order to verify the transaction and obtain clarification regarding the suspicious activity. The apex bank said this measure is designed to help financial institutions quickly determine whether a transaction is legitimate while also preventing potential financial losses.
The circular stated that once a BVN is placed on the temporary watch-list, the account holder will be contacted by the bank involved so that the issue can be clarified within the stipulated time window.
In addition to the fraud monitoring measure, the Central Bank also introduced a new restriction on modifications to phone numbers linked to BVNs. According to the new guideline, individuals will only be permitted to change the phone number associated with their BVN once.
The move is expected to reduce the possibility of criminals manipulating phone number changes to gain unauthorized access to banking services or bypass security checks. Phone numbers linked to BVNs often serve as a critical channel for transaction alerts, authentication codes and account verification processes within Nigeria’s digital banking system.
Another significant provision in the new regulatory update is the introduction of a minimum age requirement for BVN registration. Under the revised guideline, only individuals who are eighteen years and above will be eligible to enroll for a BVN.
The Central Bank explained that the age restriction is intended to standardize BVN enrolment procedures across the banking sector while ensuring compliance with identity verification standards.
The apex bank also reiterated that access to the BVN database will remain strictly restricted. According to the circular, only financial institutions licensed by the Central Bank will be allowed to access the BVN system and related databases used for identity verification across the banking industry.
However, the regulator noted that it still reserves the authority to approve access to the BVN database in exceptional circumstances and in line with existing legal provisions governing financial data and banking operations in the country.
The BVN system was introduced to provide a unique biometric identity for bank customers, helping financial institutions verify identities, reduce fraud and track suspicious financial activities across multiple bank accounts.
Industry observers say the latest update reflects the regulator’s continued effort to tighten oversight of digital banking activities amid growing concerns about electronic fraud and identity manipulation within Nigeria’s financial sector.
With the new guidelines set to take effect in May, banks and other financial institutions are expected to adjust their operational procedures to comply with the revised framework. Customers may also notice increased verification checks or receive communication from their banks if their BVNs are flagged during the newly introduced monitoring process.
