Nigeria: Federal Competition and Consumer Protection Commission adopted Digital, Electric, Online, or Non-Traditional Lending Regulations including business registration requirement

On 21 July 2025, the Federal Competition and Consumer Protection Commission adopted the Digital, Electric, Online, or Non-Traditional Lending Regulations. The Regulations apply to all lenders and providers (including their partners and collaborators) offering unsecured digital or electronic loans or advances to consumers in Nigeria, regardless of their physical location, if their business operations extend beyond a single state. Existing lenders must apply for the Commission's approval to continue operating within 90 days of these regulations commencing. Undertakings already regulated in another sector are prohibited from consumer lending partnerships unless they hold a valid license from their primary regulator. Applications for approval must include a Consumer Lending Services Agreement, which outlines the roles, risks, rights, and responsibilities of all parties involved. The Commission reviews applications by either issuing approvals or requesting more information within 30 days. A non-refundable fee of NGN 100'000 is required for all submissions, with an additional fee of NGN 1'000'000 payable upon approval.