US Blacklists Nigerian Bureaux De Change in a Fresh Terrorism Financing Crackdown
• Deepens partnership with Abuja
•NSA: violent extremism, other crimes threaten regional stability
Chiemelie Ezeobi in Lagos, Michael Olugbode, Linus Aleke in Abuja and Francis Sardauna in Katsina
United States has imposed terrorism-related sanctions on three Nigerian bureaux de change and their alleged owner over accusations of financing the Islamic State West Africa Province (ISWAP).
The move once again placed Nigeria’s financial system under international scrutiny and highlighted growing cooperation between Washington and Abuja to dismantle terrorist networks operating in the Lake Chad region.
The sanctions, announced by U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC) and U.S. Department of State, named Nigerian financier, Mukhtar Adamu Muhammad, as an ISWAP financial facilitator accused of conducting money transfers and providing financial services on behalf of the extremist organisation.
Equally designated were Nine to Nine Exchange Bureau de Change Limited, Manhattan Bureau de Change Limited, and Generation Currency Bureau de Change Limited, which U.S. authorities alleged were owned, controlled or directed by Muhammad and used as conduits for moving funds linked to ISIS activities.
The action formed part of a broader operation targeting three individuals and six entities operating across West Africa, Europe, and the Middle East that Washington said helped ISIS raise, transfer, and conceal funds to sustain its global operations.
Besides the Nigerian network, the sanctions targeted France-based Miloud Abderrahmane and Syria-based Abdelhakim Boukich.
The U.S authorities accused Abderrahmane of carrying out financial transactions for known ISIS affiliates and disseminating bomb-making instructions to supporters of the terrorist group, while Boukich allegedly used cryptocurrency channels to facilitate transfers for ISIS associates in several countries, including the United States.
According to the U.S. Treasury, Muhammad had “materially assisted, sponsored, or provided financial, material, or technological support for, or goods and services to or in support of, ISIS-West Africa”.
Under the sanctions, all property and interests in property belonging to the designated persons and entities under U.S. jurisdiction had been blocked, while American citizens and companies were prohibited from engaging in transactions with them.
The measures could also effectively isolate the designated entities from major segments of the international financial system.
The latest action comes against the backdrop of an increasingly complex terrorist threat in Nigeria.
While the Boko Haram insurgency began in 2009 in north-eastern Nigeria, the emergence of ISWAP following a split within Boko Haram in 2016 transformed the conflict into one of the Islamic State’s most formidable franchises outside the Middle East.
Since then, ISWAP has carried out deadly attacks on military formations, communities, and humanitarian workers in Borno and neighbouring states, while exploiting the porous borders of Nigeria, Niger, Chad and Cameroon to establish transnational financing and logistics networks.
United Nations estimated that more than 35,000 people had been killed and millions displaced since the insurgency erupted, making it one of Africa’s longest-running and most devastating security crises.
The latest sanctions also revived concerns over the vulnerability of informal financial channels to exploitation by terrorist groups.
Security experts had repeatedly warned that extremist organisations increasingly relied on bureaux de change, cash couriers, informal remittance systems, and cryptocurrencies to evade sanctions and sustain their operations.
Washington has steadily intensified efforts to dismantle the financial networks supporting ISIS and its regional affiliates.
In March 2022, OFAC sanctioned six individuals accused of raising and transferring funds to Boko Haram, including persons convicted in the United Arab Emirates for facilitating the transfer of approximately $782,000 from Dubai to support terrorist activities in Nigeria.
United States and United Nations also imposed sanctions on several ISWAP leaders and financiers accused of orchestrating attacks and managing the group’s finances.
Similarly, the US designated ISIS-West Africa as a Foreign Terrorist Organisation and Specially Designated Global Terrorist entity, enabling authorities to freeze assets and disrupt its financial infrastructure worldwide.
Nigeria, for its part, has strengthened domestic counterterrorism financing measures.
In 2022, the Federal High Court, acting on recommendations of the Nigeria Sanctions Committee, ordered the freezing of bank accounts and financial assets linked to individuals and entities suspected of financing terrorism.
Earlier, the federal government designated several groups and individuals connected with terrorism financing and directed financial institutions and designated non-financial businesses to identify and block assets associated with them.
Violent Extremism, Other Crimes Threaten Regional Stability, Says NSA Nuhu Ribadu
National Security Adviser (NSA), Mallam Nuhu Ribadu, warned that violent extremism, unconstitutional changes of government, transnational organised crime, arms trafficking, and humanitarian pressures continued to pose serious threats to regional stability.
Speaking at the 4th UK-Nigeria Security and Defence Partnership Dialogue in Abuja, yesterday, Ribadu said the evolving security landscape in West Africa and the wider Sahel region required sustained attention from national authorities, bilateral and multilateral institutions, as well as international partners.
He said the interconnected nature of these threats meant that insecurity within the region increasingly carried global consequences.
Reaffirming Nigeria’s commitment to regional peace and security, Ribadu said the country would continue to play its role as a leading security actor on the continent by working with partners to strengthen stability, promote democratic governance, and build collective resilience against common threats.
He stated that terrorism, violent extremism, cybercrime, organised criminal networks, illicit financial flows, foreign information manipulation and interference, as well as the growing sophistication of transnational criminal organisations, demanded unprecedented levels of cooperation among trusted partners.
Ribadu stated, “Both our countries are responding to a threat environment where challenges are increasingly interconnected and cross-border in nature. No nation can address these threats alone.
“Effective responses require coordinated action across defence, intelligence, law enforcement, diplomacy, cyber capabilities, and financial tools. This whole-of-government approach remains central to the future of our partnership.
“It is, therefore, fitting that SDP4 focuses on themes relating to national and regional leadership in an increasingly complex security environment.
“It is an opportunity to reflect on the challenges arising from cross-border insecurity, technological change, and the evolving threat landscape.
“These themes reflect our shared determination not only to respond to immediate threats but also to build resilient institutions capable of addressing future and more complex challenges.”
The NSA said, “Nigeria remains firmly committed to confronting these challenges through a whole-of-government and whole-of-society approach. Significant progress has been made in degrading terrorist and criminal networks operating within our borders.
“Nevertheless, we remain mindful that these threats are dynamic, adaptive, and increasingly technology-driven.”
He said Nigeria’s security agencies must continue to strengthen their collective ability not only to respond to crises but also to anticipate and prevent them.
Ribadu described counterterrorism as a key pillar of the UK-Nigeria partnership, expressing appreciation for the United Kingdom’s support in strengthening crisis response capabilities, disrupting terrorist financing networks, enhancing investigations, and supporting strategic communications.
In his remarks, United Kingdom National Security Adviser, Jonathan Powell, commended the professionalism and dedication of Nigeria’s security services, describing the country as central to regional stability and collective security.
Powell said there was no substitute for Nigeria’s role in advancing peace and stability across West Africa and beyond.
He stated, “We are operating in an increasingly complex and interconnected security environment. Having recently returned to government after many years away, I have been struck by the extent to which modern threats have evolved and become intertwined.
“Our partnership with Nigeria is not abstract. It is grounded in practical and sustained cooperation across the full spectrum of security engagement—from frontline operational support and institutional strengthening to crisis preparedness and future threat mitigation.”
Powell said, “The United Kingdom currently has military personnel in Maiduguri supporting Nigerian forces in their efforts to confront terrorism and insecurity.
“We have counterterrorism specialists working with Nigerian law enforcement agencies, and we continue to support the National Counter Terrorism Centre in strengthening its capabilities, including the development of forensic and investigative capacities that enhance the ability to respond to terrorist incidents with greater precision and effectiveness.”
Radda Meets Religious Leaders, Seeks Stronger Collaboration to Tackle Insecurity
Katsina State Governor, Dikko Radda, called for stronger collaboration among communities, religious groups, and government institutions to address insecurity and promote sustainable development across the state.
Radda made the appeal yesterday, when he received representatives of Gamayyar Kungiyoyin Addinai (Christian Association, Islamic organisations) and community-based groups from Dandume Local Government Area at Government House, Katsina.
He commended the delegation for fostering unity and cooperation among residents of Dandume and described the visit as a demonstration of collective responsibility and commitment to community development.
The governor said such harmony among religious and community leaders would not only benefit Dandume but also contribute to the overall peace and progress of Katsina State.
He said sustainable development could only thrive in an atmosphere of peace, mutual respect and cooperation among citizens.
“When communities unite and work together, development becomes easier and more sustainable. You have set a commendable example worthy of emulation,” the governor said.
Radda acknowledged persistent threats posed by banditry, particularly along border communities adjoining parts of Kaduna State, and directed relevant security authorities to intensify efforts to address the situation.
He instructed the Dandume Security Committee to collaborate with the Commissioner for Internal Security and Home Affairs in developing and implementing lasting measures to curb insecurity in the area.
The governor also urged politicians, traditional rulers, and residents to support ongoing security operations, warning that local support networks often aid criminal activities.
Radda said, “All politicians and community members must act responsibly as ambassadors of their communities. Some of these security issues are sustained by local support networks, and that must stop.”
Terrorists Flee as Troops Intensify Offensive, 47 Captives Regain Freedom
No fewer than 47 civilians, mostly women and children held captive by ISWAP terrorists, regained their freedom after insurgents reportedly fled their enclaves under sustained military pressure from troops of the Joint Task Force (North East), Operation Hadin Kai (OPHK), in Kangarwa, Kukawa Local Government Area of Borno State, the military said.
They said the victims escaped captivity on June 20 as relentless ground and air offensives by OPHK troops forced the terrorists to abandon their positions in the Lake Chad region, marking another significant breakthrough in the military’s counterinsurgency campaign.
In a statement, Acting Military Information Officer of Joint Task Force, North East, Operation Hadin Kai, Captain Mohammed Goni, attributed the successful rescue to the relentless ground and air offensives carried out by OPHK troops against ISWAP enclaves.
According to Goni, the coordinated operations forced the terrorists to abandon their positions in disarray, creating an opportunity for the captives to escape after a prolonged period in detention.
The statement said, “The successful rescue operation was made possible through sustained aggressive pressure and relentless offensive operations conducted by OPHK troops against ISWAP enclaves in the Lake Chad region.
“The unrelenting ground and air offensives forced the terrorists to abandon their positions in confusion, enabling the victims to escape from prolonged captivity.”
The rescued civilians had since been moved to a secure location, where they were receiving medical attention and other essential care.
The military said necessary humanitarian assistance was being provided in collaboration with relevant agencies to support the victims and facilitate their eventual reintegration into society.