Justice James Omotosho of the Federal High Court in Abuja has fixed July 4 for judgment in a suit seeking to affirm the legality of the Nigeria Inter-Bank Settlement System Plc (NIBSS) as the administrator of the Bank Verification Number (BVN) database.

The matter came before the court following a suit filed by NIBSS, in which it is seeking declaratory and injunctive reliefs affirming its mandate under the Central Bank of Nigeria (CBN) Act, the Banks and Other Financial Institutions Act (BOFIA), and the 2021 Revised Regulatory Framework for BVN Operations.

During Tuesday’s proceedings, counsel for NIBSS, Mr. Babatunde Ige, urged the court to uphold his client’s position. He argued that the management of the BVN system by NIBSS is consistent with the constitutional framework and is rooted in financial regulations issued by the CBN.

Ige said, “Section 47(2) of the CBN Act empowers the apex bank to develop payment and settlement systems in Nigeria.” He added that NIBSS was created in collaboration with Nigerian banks to implement this mandate, and that its role in managing the BVN system is essential for the integrity of the financial ecosystem.

“The BVN initiative promotes a secure and robust financial system, ensuring the safety of deposits held by Nigerians and foreign customers alike,” Ige told the court. He concluded by asking the court to “recognise the significance of the BVN system and affirm NIBSS’ authority to maintain and manage the database.”

Appearing alongside Ige was counsel to the CBN, Mr. Kofo Abdulsalam-Alada, who also made submissions before the court. Justice Omotosho, after hearing all arguments, reserved judgment for July 4.

NIBSS, in its originating summons, listed the Incorporated Trustees of Digital Rights Lawyers Initiative, the Central Bank of Nigeria, and the Attorney General of the Federation as the first, to third defendants. Among the reliefs sought is a perpetual injunction restraining any individual or group from disputing its mandate to manage the BVN system.

The company is also seeking declarations that its maintenance of BVN data is lawful and does not contravene any provisions of the 1999 Constitution, including rights to privacy.

NIBSS further accused the Digital Rights Lawyers Initiative of repeatedly filing lawsuits—either directly or through proxies—challenging its role and alleging violations of data protection in the management of the BVN platform.

The judgment, expected in early July, could clarify the legal standing of NIBSS within Nigeria’s banking framework and determine the future of data governance in the financial sector.