The Federal Competition and Consumer Protection Commission (FCCPC) have given its approval for 173 digital lending applications to operate in Nigeria.
Of these, 119 have full approvals while the other 54 have conditional approvals. The move follows a registration drive launched by the FCCPC aimed at protecting citizens from the unsavoury practices of loan apps.
The regulatory body released a ‘Limited Interim Regulatory/ Registration Framework and Guidelines for Digital Lending 2022’ document to regulate the digital lending space and make registration and approval a prerequisite for companies seeking to operate in the sector.
The FCCPC has now released a list of approved loan apps that can operate in the country. Companies without approval will not be able to operate in the digital lending space. Google has also taken action to enforce regulatory compliance, removing unapproved loan apps from its Play Store in Kenya in March.
The FCCPC released a statement in August 2022, outlining its efforts to create a clear regulatory framework for digital lending.
In February 2023, the Nigeria Data Protection Bureau revealed that a national committee made up of federal agencies was working to curb the activities of illegal loan apps in the country.
The move is expected to further improve the regulatory environment for digital lending in Nigeria.
