Zenith Bank fined N15.4bn over forex, money laundering violations

Zenith Bank Group, owner of Zenith Bank, was hit with a N15.4 billion fine by the Central Bank of Nigeria (CBN) in 2024 over infractions related to foreign exchange operations, anti-money laundering lapses, and customer-related violations.

The bulk of the penalty—N14.65 billion—stemmed from infractions uncovered during the apex bank’s foreign exchange examination. Specific details of the wrongdoing were not provided in the bank’s 2024 audited financial statement which reported the fines on Thursday.

The bank was also fined N103.25 million following anti-money laundering reviews, while another N61 million was imposed due to findings related to financial crime compliance.

Beyond forex and money laundering violations, Zenith Bank also faced penalties over customer-related issues, including a N2 million fine for delayed resolution of complaints and N14 million for non-compliance with CBN’s directive on reconciliation of customer charges.

Other breaches included a N322 million penalty for inadequate checks on customer onboarding documentation and a N20 million sanction for non-compliance with various CBN directives.

Cybersecurity failures also attracted regulatory scrutiny, with the bank fined N4 million for breaches in cyber risk management.

A further N250 million penalty was issued for violating extant banking regulations, while N4 million was levied for infractions related to risk assessment examinations.

Strong performance

Zenith Bank reported strong financial performance in 2024. The group reported a 53% surge in net profit to N1.03 trillion for the year ended December 31, 2024, driven by an 86% rise in gross earnings to N3.97 trillion.

Interest income more than doubled to N2.72 trillion from N1.14 trillion, while customer deposits climbed to N21.96 trillion from N15.17 trillion.

The bank has declared a final dividend of N4 per share on the back of its robust performance.