Non-compliant platforms risk suspension, operational restrictions, and prosecution, says Commission…
The Federal Competition and Consumer Protection Commission (FCCPC) has set January 5, 2026, as the final deadline for all digital lending platforms and intermediaries in Nigeria to comply fully with its newly introduced consumer lending regulations.
The move, announced in a statement on Thursday by the Commission’s Director of Corporate Affairs, Ondaje Ijagwu, marks a major step in the federal government’s bid to curb unethical and exploitative practices in the country’s fast-growing digital lending industry.
The regulations, which took effect on July 21, 2025, were introduced under the Federal Competition and Consumer Protection Act (FCCPA) 2018, and are designed to promote fairness, transparency, and accountability across Nigeria’s lending ecosystem.
“Full compliance is not only a legal requirement but an important step in protecting consumers and ensuring that the sector continues to grow fairly and responsibly,” said Tunji Bello, Executive Vice Chairman of the FCCPC. “Operators have had ample time to adjust, and we expect all obligations to be met before the deadline.”
New Guidelines and Compliance Process
To aid compliance, the Commission also released the Guidelines on the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations, 2025, issued under Sections 17 and 163 of the FCCPA.
The new document provides practical instructions for lenders and intermediaries, outlines the documentation required, and introduces updated Forms 1 and 3, reflecting stakeholder feedback from the earlier registration process.
Applicants with pending submissions are encouraged to update their documentation under the revised framework without waiting for formal notification, while the Commission pledged to maintain a transparent and expedited review process.
Under the rules, all lending platforms, service partners, and intermediaries must meet their compliance obligations by the January 5, 2026 deadline.
Enforcement actions will begin immediately after, with penalties including operational suspension, restrictions, or prosecution under the FCCPA.
Copies of the full guidelines, required forms, and FAQs are available on the FCCPC’s website and at its nationwide offices.
Cleaning Up Nigeria’s Digital Lending Sector
Nigeria’s digital lending space has grown rapidly in recent years, driven by increased smartphone penetration and the need for easy access to credit. However, the sector has also faced widespread criticism for abusive lending practices, including harassment, data breaches, and exorbitant interest rates.
Unlicensed “loan sharks” have been known to illegally access borrowers’ contacts and publicly shame debtors through defamatory messages sent to friends and family members.
In response, the FCCPC launched a joint task force in 2022 with the Central Bank of Nigeria (CBN), the National Information Technology Development Agency (NITDA), and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to regulate and sanitize the sector.
This effort led to the introduction of an interim registration framework, which required legitimate operators to submit documentation for approval before full licensing.
Following persistent non-compliance by some entities, the Commission introduced the comprehensive 2025 Regulations and Guidelines to permanently strengthen oversight and consumer protection in the industry.
As of November 2025, the FCCPC confirmed that 438 digital lending companies have received full operational approval, a major milestone in the ongoing reform of Nigeria’s online lending ecosystem.
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