In a significant move to enhance consumer protection, the Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria has announced new regulations for digital lending, set to take effect on July 21, 2025. According to the conclusions drawn in the analytical report, this initiative aims to establish a more structured and ethical framework for the rapidly growing digital lending sector.
Introduction of Digital Lending Regulations, 2025
The newly introduced Digital Lending Regulations, 2025, mandate that all digital lenders must register with the FCCPC and adhere to specific operational standards. These standards include ensuring transparency in loan terms and explicitly prohibiting unethical debt recovery practices, which have been a major concern in the industry.
Comments from FCCPC Executive Vice Chairman
Tunji Bello, the Executive Vice Chairman of the FCCPC, highlighted the necessity of these regulations to combat widespread unethical practices that have plagued the sector. By implementing these rules, the FCCPC aims to protect consumers and foster a fair lending environment, addressing the long-standing lack of regulation in digital lending.
Impact of the New Framework
The new framework is expected to bring much-needed structure to an industry that has often operated without oversight, ensuring that digital lending practices align with ethical standards and consumer rights are upheld.
The Tertiary Education Trust Fund (TETFund) recently announced plans to introduce electric vehicles across 12 Nigerian campuses, addressing transportation challenges for students. This initiative complements the recent regulations by the FCCPC aimed at enhancing consumer protection in digital lending. For more details, see read more.
