Nigeria’s financial technology landscape is entering a new phase as the Central Bank of Nigeria (CBN) moves to formally align regulation with the rapid expansion of digital banks and payment platforms across the country.
The apex bank has upgraded the operating licences of several major FinTech companies and microfinance banks to national status, clearing them to operate fully across Nigeria after meeting regulatory conditions. The upgrade covers prominent players such as Moniepoint Microfinance Bank, Opay, Kuda Bank, Palmpay and Paga, many of which had already built nationwide footprints through mobile platforms and extensive agent networks despite holding regional licences.
Speaking at the annual conference of the Committee of Heads of Banks’ Operations in Lagos, the Director of the Other Financial Institutions Supervision Department at the CBN, Yemi Solaja, confirmed that the institutions had been formally elevated. He noted that, in practical terms, many of the affected FinTechs were already operating nationwide before the regulatory adjustment.
The CBN stressed that the move is not only about expansion but also about stronger accountability. Solaja highlighted the need for physical offices and accessible customer support, particularly because a large share of FinTech users operate within the informal sector and require clear channels for resolving complaints and disputes.
Under the new national licences, affected institutions will be subject to stricter requirements, including higher capital thresholds—set at ₦5 billion for national microfinance banks—as well as mandatory physical offices for customer engagement and dispute resolution. These measures are expected to strengthen consumer protection while sustaining momentum in financial inclusion.
The licensing upgrade also reflects the regulator’s broader effort to raise standards in the digital finance space. In 2024, the CBN imposed ₦1 billion fines on Moniepoint and Opay for breaches related to Know-Your-Customer (KYC) compliance, signalling a tougher stance on governance and risk management.
With national licences now in place, the CBN is seeking to balance innovation and growth with stronger supervision, as FinTechs continue to play an increasingly central role in Nigeria’s financial system.