The Federal Competition and Consumer Protection Commission (FCCPC) has started phased enforcement actions against digital money lending operators that failed to regularise their operations under the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations (DEON Regulations), 2025.
The compliance deadline for affected operators expired on Monday, January 5, 2026. In a statement, Ondaje Ijagwu, Director of Corporate Affairs at FCCPC, explained that the enforcement exercise aims to ensure regulatory certainty and restore consumer confidence in Nigeria’s fast-growing digital lending sector.
Executive Vice Chairman and CEO, Tunji Bello, emphasised that the measures are designed to implement the new regulations fully and protect consumers from abusive lending practices. “The compliance window provided under the Regulations has now closed. At this stage, the Commission is proceeding with appropriate enforcement steps in a manner that is fair, orderly, and consistent with due process,” he said.
As part of the enforcement framework, the FCCPC has withdrawn conditional approvals previously granted to non-compliant lenders and removed them from its published register of approved digital lenders. Bello highlighted that the register is a critical consumer protection tool, helping Nigerians identify operators that meet regulatory standards. Consumers are advised to exercise caution with lenders not appearing on the current list.
The Commission has also begun engagement with relevant app hosting platforms and payment service providers to support compliance monitoring. Operators provisionally eligible under transitional arrangements have until April 2026 to regularise their registration; failure to do so could lead to further regulatory measures.
The FCCPC noted that the digital lending market has grown rapidly due to smartphone penetration, mobile internet access, and limited formal banking access. However, issues such as excessive interest rates, opaque loan terms, harassment of borrowers, and data privacy violations prompted the introduction of tighter oversight under the DEON Regulations.
Bello reaffirmed the Commission’s commitment to transparent regulation, fair competition, and consumer protection, warning that defaulting operators would face continued scrutiny to ensure compliance and market discipline.
Leave a comment