The Nigerian Financial Intelligence Unit (NFIU) has revealed that more than ₦48 billion in suspicious financial transactions was moved from Nigeria to Dubai and Hong Kong between January 2021 and September 2024.
According to a report obtained in May 2025, the NFIU described Dubai and Hong Kong as “emerging global hotspots for illicit financial flows” and warned Nigerian financial institutions to strengthen their monitoring systems to prevent abuse. The report, as covered by PUNCH, highlighted that the NFIU received 401 Suspicious Transaction Reports (STRs) related to both regions during the review period.
Out of these, Dubai accounted for 185 STRs, with transactions totalling ₦29.6 billion—the highest in value. Meanwhile, Hong Kong was linked to 216 STRs, with a combined value of ₦18.6 billion.
“The NFIU finds it pertinent to issue this advisory to relevant stakeholders to employ Enhanced Due Diligence in the detection, deterrence, and prevention of abuse of the financial system through these hotspots,” the report stated.
The NFIU also stressed that reporting suspicious transactions from these jurisdictions is critical to protecting Nigeria’s financial system and supporting global efforts against money laundering, terrorist financing, and proliferation financing.
The report revealed a sharp rise in suspicious transactions over the years. In 2021, only two STRs worth ₦42 million were recorded. By 2024, the number of STRs surged to 202 reports with a total value of ₦32 billion.
According to the NFIU, the increase in suspicious transactions is driven by “complex regulatory loopholes, shell companies, offshore accounts, and weak enforcement mechanisms” in both Dubai and Hong Kong. These gaps, the agency said, are being exploited by criminal networks.
The report described Dubai as a “major financial and commercial hub in the Middle East” with a booming real estate market and business-friendly environment that attract both legitimate investors and criminal actors. It referenced the 2020 Dubai Leaks scandal, which exposed how individuals under international sanctions, alleged criminals, and politically exposed persons (PEPs) acquired valuable real estate in the city.
Regarding Hong Kong, the report stated: “Hong Kong, a major financial hub in Asia, is similarly challenged by money laundering activities. Its role as an international finance centre and gateway to mainland China makes it a critical node in global financial flows.”
It also noted that Hong Kong has witnessed several high-profile money laundering cases involving major international banks, highlighting the ongoing challenge of balancing financial openness with effective regulatory oversight.
The NFIU urged Nigerian banks, financial institutions, and regulators to adopt Enhanced Due Diligence procedures and prioritise the early detection and reporting of suspicious activities linked to Dubai and Hong Kong.
“This advisory is a call to arms for Nigerian financial stakeholders,” the report concluded. “Failure to act decisively could expose the country to deeper financial crime risks and serious international reputational damage.”
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