Regfyl Report Maps Nigeria AML Compliance Gaps in 2026

In Short

Regfyl has published its 2026 State of AML Compliance in Nigeria report. It is based on a survey of 227 compliance professionals across Nigeria’s financial sector.

What Happened

Regfyl says Nigeria’s anti-money laundering compliance, often shortened to AML, is improving but still held back by disconnected systems and manual work.

The report’s survey data was collected between September and November 2025. That period matters because Nigeria was removed from the Financial Action Task Force watch list in October 2025, after completing an agreed action plan. FATF is the global body that sets AML standards.

Regulation then moved again in March 2026. The Central Bank of Nigeria issued Baseline Standards for Automated AML, CFT and CPF Solutions. This sets minimum requirements for automated financial-crime controls at CBN-regulated institutions. Automated controls are software checks that flag risk without a human doing every step.

Regfyl’s findings suggest many teams have some tools, like screening or transaction monitoring, but the full workflow is still fragmented. The survey highlights system integration limits as a key blocker, with 70% of respondents flagging it as a major challenge. 61% said their institutions still rely heavily on manual processes.

Regfyl also reports growing concerns about identity and business verification quality. KYC means “know your customer,” and KYB means “know your business,” basically background checks for people and companies. Respondents pointed to issues like document reliability, inconsistent access to official databases, and difficulty confirming beneficial ownership, meaning the real person who ultimately controls a company.

Why It Matters

For Nigerian banks, fintechs, and payment companies, AML compliance is not just a box-ticking exercise. It affects onboarding speed, fraud investigations, regulatory reporting, and operating costs.

The report suggests 2026 spending may tilt toward fixing processes and integrations, not only buying new tools. In fact, 77% of respondents said process improvement is a priority for 2026, slightly ahead of technology upgrades.

As the CBN pushes minimum standards for automation, vendors and compliance teams will likely be judged on how well systems connect across the full AML lifecycle, from identity checks to monitoring and reporting.