Nigeria: Digital, Electric, Online, or Non-Traditional Lending Regulations including user rights enters into force

On 5 January 2026, the Digital, Electric, Online, or Non-Traditional Lending Regulations enter into force. 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. Under the Regulations, lenders must treat every consumer fairly and equitably, without discrimination or exploitation. Loan contracts are prohibited from containing terms that create an imbalance of rights detrimental to the consumer. Credit must be provided on an opt-in basis only, with explicit consumer consent, and automatic lending is strictly forbidden. Additionally, lenders must conduct proper credit assessments to ensure a consumer's capability to repay before granting a loan. Consumer complaints must be addressed within 24 hours, or a resolution timeframe not exceeding 48 hours must be communicated.