Following parliamentary deliberations in Abuja, the Nigerian Senate officially passed a legislative measure on Tuesday, Nov. 10, 2026, designed to place leading financial technology firms under stricter regulatory monitoring by the Central Bank of Nigeria. Officially designated as Bill SB. 959, the proposed legislation empowers the apex bank to classify major non-bank financial service providers as Systemically Important Institutions. Although the bill represents a significant milestone in digital finance oversight, it remains subject to further legislative steps before coming into effect.
What does Bill SB. 959 entail?
The legislation amends the existing Banks and Other Financial Institutions Act of 2020. Sponsored by Senator Adetokunbo Abiru representing Lagos East and chairing the Senate Committee on Banking, Insurance and Other Financial Institutions, the bill advanced through its third reading following clause-by- clause evaluation by the Committee of the Whole under the guidance of Senate President Godswill Akpabio.
Under the provisions of the proposed law, the central monetary authority gains statutory authority to identify and register qualifying digital financial platforms based on transaction volumes, customer demographics, and interconnectedness within the broader financial ecosystem. Designated entities would be subjected to mandatory stress tests, rigorous operational risk standards, and direct supervisory access to their technical infrastructure.
Why is enhanced oversight being introduced?
Regulatory authorities and stakeholders, including the Nigeria Deposit Insurance Corporation and the Economic and Financial Crimes Commission, participated in earlier public hearings to deliberate on risk management within the evolving digital economy. Proponents of the framework argue that rapid growth in digital financial services necessitates robust safeguards to protect consumer deposits and maintain macroeconomic stability against potential systemic shocks.
While the legislation does not explicitly name specific corporate entities or detail exact penalty structures, it mandates greater transparency regarding corporate ownership and requires designated platforms to maintain comprehensive reporting schedules. Account holders and users of digital wallets will retain access to an official public register once the framework becomes fully operational, enabling them to verify the regulatory standing of their service providers.
What are the next legislative steps?
Passage by the upper legislative chamber marks an intermediate stage in the lawmaking process. For the bill to attain full legal status, the House of Representatives must concur with the Senate version, followed by presidential assent. Even after enactment, the apex bank will be required to formulate specific implementation guidelines detailing measurement metrics for systemically important entities.