The Federal Government has intensified efforts to disrupt terrorism financing networks, moving to prosecute a Lagos-based Bureau De Change operator and several companies accused of facilitating financial transactions linked to the Islamic State West Africa Province (ISWAP).
The move follows the designation of Mukhtar Adamu Muhammad and three Bureau De Change firms by the United States government for their alleged roles in financing activities connected to the Islamic State of Iraq and Syria (ISIS).
Sources within the Economic and Financial Crimes Commission (EFCC) disclosed that investigations into Muhammad and the affected firms had reached an advanced stage before the United States announced sanctions against them.
According to officials familiar with the probe, the anti-graft agency had uncovered suspicious financial transactions and was already preparing criminal charges related to terrorism financing.
The latest development underscores growing cooperation between Nigerian authorities and international partners in efforts to choke off funding sources for terrorist groups operating in West Africa.
On Wednesday, the Nigeria Sanctions Committee welcomed the decision of the United States Office of Foreign Assets Control (OFAC) to blacklist Muhammad, Nine to Nine Bureau De Change Limited and Generation Currency BDC Limited, describing the action as a significant boost to ongoing counter-terrorism efforts.
The committee noted that the U.S. sanctions came barely days after Nigeria formally designated the individuals and entities under its own sanctions regime on June 18, 2026.
According to the committee, intelligence reports, financial investigations and multi-agency assessments provided sufficient grounds to conclude that the affected individuals and companies played roles in facilitating, financing or supporting the activities of ISWAP and related terrorist networks.
The sanctions are expected to tighten restrictions on the movement of funds linked to extremist groups, with financial institutions directed to freeze assets, monitor suspicious transactions and report any related activities to relevant authorities.
The Federal Government also reiterated its directive to banks, Bureau De Change operators and other designated non-financial businesses to strictly comply with sanctions obligations and anti-money laundering regulations.
Officials said the measures form part of broader efforts to safeguard Nigeria’s financial system from abuse by terrorist organisations and criminal networks.
The Nigeria Sanctions Committee commended the collaborative efforts of the Federal Ministry of Justice, Office of the National Security Adviser, Central Bank of Nigeria, Department of State Services, EFCC and the Nigerian Financial Intelligence Unit in identifying and disrupting alleged terrorism financing channels.
Reaffirming the government’s commitment to national security, the committee said Nigeria would continue to strengthen partnerships with international allies and domestic stakeholders to ensure that terrorist groups and their financiers are denied access to financial resources.