The Central Bank of Nigeria (CBN) has released updated guidelines for managing dormant accounts and unclaimed financial assets across the country’s banks and financial institutions. These guidelines aim to identify, safeguard, and reconnect dormant funds with their rightful owners.
In a circular dated last Friday, with reference number FPR/DIR/PUB/CIR/002/011, the CBN explained that this revision follows a review of the original guidelines issued in October 2015. The new framework requires financial institutions to classify accounts as dormant after 10 years of inactivity. Eligible funds include unclaimed balances in savings, current, and term deposits, prepaid cards, government accounts, stale drafts, and proceeds from uncleared financial instruments, among others.
To manage these funds, the CBN will establish an “Unclaimed Balances Trust Fund (UBTF) Pool Account,” which will serve as a repository for dormant account balances. For institutions undergoing liquidation, the Nigeria Deposit Insurance Corporation (NDIC) will oversee the process.
Financial institutions must notify customers of inactivity, implement safeguards against unauthorized access, and maintain procedures to minimize dormant accounts. This includes advising customers to update personal information like names, addresses, and contact details. Institutions are also required to maintain detailed records of dormant accounts, ensuring proper authorization for reactivation and transferring unclaimed funds exceeding 10 years to the UBTF Pool Account.
Separately, the CBN announced that it sold $106.5 million to 29 authorized dealer banks on July 18 and 19, 2024, to stabilize the forex market and reduce distortions. The sales occurred at exchange rates ranging between N1498/$1 and N1530/$1, while it also purchased $9.5 million from four dealer banks at rates of N1510/$1 to N1550/$1.
Dr. Omolara Omotunde Duke, speaking on behalf of the CBN, stated that further liquidity support would be provided to various segments of the forex market in the coming weeks. The apex bank advised Nigerians requiring foreign exchange to approach authorized banks and Bureau De Change operators, adhering to market regulations.
