Stakeholders in Nigeria’s financial technology industry are divided over a proposed bill seeking to establish a fintech regulatory commission, with some warning it could create overlapping supervision and regulatory uncertainty.
The concerns were raised on Monday during a public hearing convened by the House of Representatives joint committees on digital and electronic banking, banking regulations, science and technology, communications, and capital market and institutions.
Representatives of several fintech firms argued that the proposed commission would duplicate responsibilities currently handled by the Central Bank of Nigeria (CBN) and other agencies.
Maxwell Loko, vice-president of public and government affairs at OPay Digital Services, said while the company supports stronger oversight in the sector, a parallel regulator could complicate compliance.
“The industry’s growth demands clarity, structure, and coordinated supervision. However, the effectiveness of regulation depends not only on good intentions, but on design, structure, and coordination,” he said.
Loko noted that the CBN presently regulates mobile money operators, payment service providers and digital banking platforms, while the Nigeria Data Protection Commission oversees data governance and the Federal Competition and Consumer Protection Commission handles consumer protection.
“Without very precise delineation of roles, the establishment of a parallel regulator risks duplication of licensing processes, overlapping supervisory examinations, increased compliance costs, and regulatory uncertainty that may discourage investment,” he said.
Loko recommended strengthening the existing CBN-led framework while formalising inter-agency coordination, arguing that a single lead regulator model would ensure “clear accountability, reduced duplication, coordinated enforcement and regulatory certainty”.
Henry Obiekea, managing director of FairMoney Microfinance Bank, also cautioned against dual oversight. He said under the bill, the CBN would continue regulating prudential matters, while the proposed commission would supervise consumer-facing digital lending conduct.
He warned that this could result in complex compliance requirements, particularly for tech-enabled services such as digital loan applications and mobile onboarding.
However, some industry groups backed the proposal. The Association of Telecommunications, Information, Technology, Cable Satellite Network Operators and Allied Services Employers of Nigeria (ATICEN) said the sector needs a dedicated statutory regulator.
Adede Williams, ATICEN’s president, said Nigeria’s nearly 400 fintech firms currently operate under fragmented oversight.
“The absence of an independent regulatory body is a threat to consumers, investors, industry service providers, stakeholders, shareholders and the digital economic stability at large,” Williams said.
Similarly, Obioha Otti, acting president of the Association of Mobile Money and Bank Agents in Nigeria (AMBAN), endorsed the bill, noting that he represents more than two million point-of-sale and mobile money agents nationwide.
“As the commission is being established, AMBAN and registered POS agents should be formally integrated into the regulatory framework,” he said.
Fuad Laguda, sponsor of the bill, argued that Nigeria lacks a single authority to regulate fintech operators comprehensively. He said establishing the commission would strengthen user protection and enhance the sector’s contribution to economic growth.
