The Federal Competition and Consumer Protection Commission (FCCPC) has commenced phased enforcement operations against digital money lending entities that have not regularized their business under Nigeria’s recently established digital lending regulations, following the conclusion of the compliance period on Monday, January 5, 2026.
This enforcement initiative is a direct result of the implementation of the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations, 2025 (DEON Regulations), which stipulate essential requirements for all digital money lenders operating within the country.
Mr. Tunji Bello, the Executive Vice Chairman and Chief Executive Officer of the FCCPC, stated that these enforcement measures are crucial for fully enacting the Regulations and ensuring a structured and predictable environment in Nigeria's rapidly growing digital lending market.
"The period allocated for compliance under the Regulations has now concluded. Consequently, the Commission is proceeding with the necessary enforcement steps in a manner that is equitable, systematic, and adheres to due process," Bello commented.
"Our goal is to foster accountability, transparency, and consumer trust within the digital lending sector, rather than hindering legitimate business activities."
As part of the established enforcement strategy, the Commission has revoked the provisional approval status previously granted to digital money lenders who did not finalize their regularization process within the designated transition period.
Consequently, these operators have been removed from the FCCPC's official register of approved digital lenders, pending their full adherence to the pertinent regulatory mandates.
Bello elaborated that the FCCPC's register serves as a vital tool for safeguarding consumers and informing the public.
"The FCCPC’s register is designed to guide the public on which operators have met the applicable regulatory standards as of the publication date. Consumers are strongly advised to exercise caution when engaging with digital lenders that are not listed on the Commission's current roster of authorized entities," he advised.
Furthermore, the FCCPC announced the initiation of structured dialogues with platforms that host applications and payment service providers as part of its ongoing enforcement and compliance monitoring efforts, aligning with its statutory responsibilities. The Commission indicated that further regulatory actions will be pursued in accordance with legal provisions and established procedures.
For digital lenders provisionally classified as eligible under the transitional arrangements, the Commission has set April 2026 as the definitive deadline for them to complete their registration under the DEON Regulations.
"This extended period is intended to allow the affected operators to take the necessary steps toward compliance. Entities that opt not to regularize their status within this timeframe may be subject to additional regulatory measures, as stipulated by law," Bello stated.
The Commission emphasized that this enforcement action is designed to enhance market discipline, protect legitimate businesses from unfair competition, and safeguard consumers from predatory, deceptive, or illegal lending practices.
"Effective regulation is contingent upon consistent application. Businesses that comply with regulations deserve a stable and predictable regulatory environment, and consumers have a right to legal protection," Bello further remarked.
The FCCPC reiterated its dedication to promoting transparent regulatory practices, fostering fair competition, and ensuring robust consumer protection throughout Nigeria’s digital economy.
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