The Federal High Court sitting in Abuja has scheduled July 4, 2025, for judgment in a suit filed by the Nigeria Inter-Bank Settlement System Plc (NIBSS), seeking judicial affirmation of its authority to manage the country’s Bank Verification Number (BVN) database. Newswire Law & Events reported the development following court proceedings presided over by Justice James Omotosho.
What the Case Is About:
The dispute stems from legal questions over whether NIBSS, a private clearinghouse for interbank payments, has the statutory backing to exclusively manage and oversee Nigeria’s sensitive BVN infrastructure.
NIBSS, represented by Babatunde Ige, argues that its role is lawfully established under the CBN Act 2007, Banks and Other Financial Institutions Act (BOFIA) 2020, and the Revised BVN Regulatory Framework (2021).
The defendants in the case include the Incorporated Trustees of the Digital Rights Lawyers Initiative, the Central Bank of Nigeria (CBN), and the Attorney-General of the Federation (AGF).
What NIBSS Wants
In its originating summons, the Nigeria Inter-Bank Settlement System Plc (NIBSS) is urging the court to declare that it is statutorily empowered to manage and maintain the Bank Verification Number (BVN) database. It also seeks a ruling affirming that its oversight of the BVN infrastructure does not violate the constitutional privacy rights of Nigerian citizens. Additionally, NIBSS is asking the court to grant a perpetual injunction restraining any individual or organisation from challenging its authority to oversee and regulate the country’s digital banking identity system.
“At the heart of this legal battle is a bigger question: Who truly owns your financial identity in the digital age — the state, the banks, or the individual?”
Beyond these requests, NIBSS has accused the Digital Rights Lawyers Initiative of persistently attempting to undermine its statutory mandate through a series of repetitive lawsuits and proxy legal actions aimed at destabilising its regulatory functions.
Legal Context:
The outcome of this case will test the balance between data privacy rights and state-regulated financial identity systems in Nigeria. It offers an opportunity for the judiciary to clarify how far statutory financial regulators can go in managing personal identity infrastructure without infringing constitutional rights.
The judgment will also be a marker for the robustness and limits of the CBN’s centralized oversight model in a digital finance ecosystem increasingly sensitive to personal data security.
What’s Next?
Justice James Omotosho is expected to deliver judgment on Thursday, July 4, 2025, at the Federal High Court, Abuja. The decision could have wide-ranging implications for banking regulation, financial data governance, and digital rights advocacy in Nigeria.
