Bank Auditors Advised On Cybercrime Controls As Losses Exceed N100bn

Nigeria’s bank auditors have raised fresh concerns that the surge in cybercrime and fast-evolving regulatory pressure are forcing a fundamental rethink of how internal audit functions operate across financial institutions.

Against this backdrop, the managing director and chief executive of Union Bank, Yetunde Oni, stressed that internal audit must play a leading role in validating, challenging, and strengthening controls, as Nigeria’s cybercrime exposure remains significant.

Oni who was represented by the bank’s chief brand & marketing officer/head, Customer Experience, Olufunmilola Aluko, at the 63rd Quarterly General Meeting of Association of Chief Audit Executives of Banks in Nigeria (ACAEBIN) said “with reported losses exceeding N100 billion in 2023 alone, and with the country ranked among top global sources of cyber-attacks, the risk landscape has fundamentally changed.

“Cybersecurity is no longer an IT issue; it is an enterprise-wide resilience issue”, she said, adding that the Nigerian banking industry stands at a pivotal moment, “One where regulatory intensity, macroeconomic fragility, and technological disruption converge.

She noted that financial institutions are now exposed to more complex attacks that target digital infrastructure, payment channels and customer data, adding that the scale of the threat has moved cybersecurity far beyond the remit of the information technology department and placed it squarely at the centre of enterprise risk and regulatory scrutiny.

“But with convergence comes the opportunity to strengthen our institutions, deepen collaboration, build trust through transparency and elevate the audit profession to new strategic relevance.”

She furthered that the roles of chief audit executives have expanded dramatically, as they are now “key actors in strengthening institutional resilience, ensuring ethical conduct, and safeguarding public confidence in the financial system.

“At Union Bank, our commitment to governance excellence remains unwavering. We believe strongly in the role of ACAEBIN and its community of chief audit executives in shaping a resilient, ethical, and future-ready financial system.” Oni stated.

In her welcome address, the chairperson of ACAEBIN, Aina Amah, said the country is dealing with a convergence of inflationary pressure, persistent foreign exchange volatility and the ongoing banking consolidation programme which are all feeding into a new risk matrix for the sector.

She explained that geopolitical tensions and rapid shifts in global interest rate conditions are also creating spillover effects that complicate treasury decisions and credit exposures across local banks.

Amah noted that, the ongoing banking consolidation in Nigeria, geopolitical tensions, inflationary pressures, and persistent foreign exchange volatility have created a new framework of interconnected risks.

“These challenges require the Internal Audit not just to assure compliance but to strengthen foresight, resilience, and strategic value across the enterprise, and I am pleased to note that ACAEBIN continues to lead purposefully in this direction, ” she noted.

The Chief Audit Executive of Union Bank of Nigeria, Isiaka Arowolo, reaffirmed Union Bank’s commitment to fostering financial integrity and robust governance across the industry. “This collaboration among audit leaders is vital; it ensures that the collective Nigerian banking sector remains resilient, transparent, and absolutely trustworthy in the eyes of our stakeholders and regulators, ” he said.