The study aims to provide information on terrorist financing methods to assist competent authorities and reporting entities in their responsibilities to combat terrorist financing. Nigeria has in recent times been labeled as one of the most corrupt countries in the world with money laundering being one of the major demons that the nation has to constantly battle with. Efforts by the government through the activities of the Economic and Financial Crimes Commission (EFCC) as well as other agencies have not yielded much fruits. The United States of America’s Justice Department in 2014 placed some Nigerian banks under the searchlight in the wake of growing terrorism in the country. Specifically, the banks are being investigated to establish their links, if any, with funding of the various terror cells across the continent, particularly Boko Haram Sect. The development was sequel to BNP Paribas’ guilty plea and agreement to pay nearly $9 billion for violating U.S. sanctions, which has now triggered fresh enthusiasm on the U.S. Justice Department to also extend its investigations to Africa, especially among big banks on the continent with strong international links. Two other major French banks- Credit Agricole and Societe Generale, Germany’s Deutsche Bank AG, and Citigroup Inc’s Banamex unit in Mexico are among those investigated for money laundering or sanctions violations. This study examined Boko Haram and terrorist financing and its socio-economic implications for conflict resolution in Nigeria. The data for this study will be generated from Focus Group Discussion and documentary sources. Tables and the technique of content analysis will constitute our data analysis technique. Among the conclusions drawn supports the findings of Financial Action Task Force (FATF), that despite the earlier warnings to Nigeria on its non-compliance level, the country is yet to take any concrete step to stem the rising spate of financial crimes including terrorism financing, money laundering and corruption. Based on the above findings, the paper recommends that the parties and individuals that violate FATF laws should be sanctioned and that the laws on economic crimes need to be reviewed to promote enforceability.