CBN to consider banks’ challenges over data localisation

The Central Bank of Nigeria (CBN) has assured deposit money banks and financial technology operators that it is actively reviewing practical implementation hurdles associated with the transition to domestic payment data hosting.

Disclosing this during interactive sessions at the 7th CIO & C-Suite Conference in Lagos, apex bank officials emphasized that while the January 1, 2027 deadline remains fixed, the regulator maintains an open-door consultative mechanism to assist institutions dealing with infrastructure gaps.

Commercial lenders and payment processors have cited operational realities including the availability of tier-certified local cloud facilities, bandwidth costs, electricity tariffs, and lengthy hardware procurement cycles for secondary failover sites.

In response, the CBN revealed that collaborative working groups with the National Information Technology Development Agency (NITDA) and local data centre operators are facilitating transitional frameworks, phased migration schedules, and technical guidance to ensure system stability is never compromised during migration.

"Our primary objective is national security and safeguarding payment integrity without stifling financial innovation," the regulatory team assured participants, encouraging institutions to submit detailed transition roadmaps early.