The Federal Competition and Consumer Protection Commission (FCCPC) has commenced phased enforcement of sanctions against digital money lending operators that failed to regularise their operations under the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations 2025.
The compliance deadline for affected operators expired on January 5, 2026.
FCCPC Director of Corporate Affairs Ondaje Ijagwu announced the enforcement exercise in a statement on January 15, 2026, aimed at ensuring regulatory certainty and restoring confidence in Nigeria’s digital lending market.
Executive Vice Chairman and Chief Executive Officer Tunji Bello stated that the measures give full effect to the new regulations and protect consumers from abusive practices.
The FCCPC has withdrawn conditional approvals granted to non-compliant lenders and removed them from its published register of approved digital lenders pending full compliance.
Bello explained that the register serves as a critical consumer protection tool, guiding Nigerians to identify compliant operators.
He advised caution when dealing with lenders not listed on the current register.
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The commission has begun structured engagement with application hosting platforms and payment service providers to monitor compliance.
Operators provisionally designated as eligible under transitional arrangements have until April 2026 to complete registration.
Defaulting operators may face further regulatory measures after this period.
Nigeria’s digital lending market has grown rapidly due to rising smartphone penetration, widespread mobile internet access, and limited formal bank credit availability.
The sector has faced complaints of excessive interest rates, opaque loan terms, borrower harassment, data privacy violations, and unauthorised access to contacts.
These issues prompted the FCCPC to introduce tighter oversight through the DEON Regulations, requiring registration, ownership disclosure, data protection compliance, and fair lending and debt recovery practices.
The commission has previously ordered removal of several loan apps from app stores and sanctioned operators for unlawful debt recovery methods, including public shaming and threats.
With this enforcement phase, the FCCPC reiterated its commitment to transparent regulation, fair competition, and effective consumer protection across Nigeria’s digital economy.
Defaulting operators will face sustained regulatory scrutiny to ensure market discipline and safeguard consumers.
