Court Affirms NIBSS’ Authority to Manage BVN Database
The Federal High Court in Abuja has affirmed the Nigeria Inter-Bank Settlement System Plc (NIBSS) as the lawful authority responsible for managing the Bank Verification Number (BVN) database.
Delivering the judgment, Justice James Omotosho ruled that NIBSS’s role aligns with the Central Bank of Nigeria (CBN) Act and other financial regulations, and does not infringe upon citizens’ constitutional rights to privacy.
The suit, filed by NIBSS and represented by Senior Advocate of Nigeria, Wolemi Esan, listed the Incorporated Trustees of Digital Rights Lawyers Initiative, the CBN, and the Attorney General of the Federation as the first to third defendants.
NIBSS sought a legal declaration affirming its mandate over BVN data management and a perpetual injunction to prevent any individual or organization—including the Digital Rights Lawyers Initiative—from disputing its authority.
Arguing its case, NIBSS stated that managing the BVN falls within its statutory responsibility to develop and regulate the national infrastructure for electronic payments. It accused the Digital Rights Lawyers Initiative of persistently trying to undermine its role through legal challenges.
Supporting NIBSS, CBN’s counsel Kofo Abdulsalam-Alada submitted a counter-affidavit, stating that NIBSS’s management of the BVN system is legally sound, constitutionally supported, and essential for the stability of the financial sector. He cited Section 47(2) of the CBN Act (2007) and provisions of the Banks and Other Financial Institutions Act (BOFIA) 2020.
In his final ruling, Justice Omotosho declared: “NIBSS has the power to manage the BVN. The court grants the reliefs of NIBSS as prayed.” He further issued a perpetual injunction restraining the Digital Rights Lawyers Initiative and others from challenging NIBSS’s role.
The judgment was declared a ruling in rem, meaning it is binding on all individuals and entities unless overturned by a higher court.
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