Digital Barker
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos
No Result
View All Result
Digital Barker
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos
No Result
View All Result
Digital Barker

FG moves against unregistered online lending platforms

Precious by Precious
August 23, 2022
0
FG moves against unregistered online lending platforms

The Federal Government has announced that it has prohibited all Nigerian mobile network operators, telecommunications service providers, and digital payment system providers from providing services to unregistered online money lenders.

This announcement was made by Mr. Babatunde Irukera, the Executive Vice Chairman/Chief Executive Officer of the Federal Competition and Consumer Protection Commission (FCCPC), in an official statement titled, “Further and Continuing Investigation of Rights Violation in Money Lending Industry and Release of Interim Regulatory Framework.”

The statement read that fintech companies such as Flutterwave, Opay, Paystack and Monify are to immediately cease and desist from providing payment or transaction services to lenders under investigation or not otherwise operating with applicable regulatory approvals.

How to use chatGPT to make money

ADVERTISEMENT

Aside from Fintech organizations, the FCCPC also orders all telecom companies to desist from providing server/hosting or connectivity to lenders who are subjects of investigation or otherwise operating without regulatory approval.

“In addition to the enforcement action(s) and in furtherance of the desire to promote fair, transparent and mutually beneficial alternative lending opportunities apart from traditional lending to consumers, the inter-agency Joint Regulatory and Enforcement Task Force has developed and mutually adopted a Limited Interim Regulatory/ Registration Framework and Guidelines for Digital Lending, 2022 as the first and interim step to establishing a clear regulatory framework,” the statement further reads.

Irukera stated that enforcement of this regulatory order must begin immediately, and the commission will henceforth have subsequent companies seek permission before proceeding to lend digitally. He also said that it provides a limited moratorium period for existing businesses to comply in order to continue their lending activities.

In a bid to take further steps in ensuring the regulation is enforced, the commission states that it has asked Google and Apple to remove applications belonging to some lenders from their respective app stores.

Due to the unfavourable economic situation of the country as a result of the high cost of living, the popularity of digital money-lending platforms has increased over the last couple of years. Despite the numerous advantages it potentially possesses, most platforms have employed unprofessional tactics such as harassment and privacy violation in their operations. Concerned about this, the Federal Government began an investigation on the issue in 2020 and in March 2022, placed sanctions on common platforms, including GoCash, OKash, EasyCredit, Kashkash, Speedy Choice, Easy Moni, and Sokoloan, which are under investigation for violating consumer rights.

Nigeria boasts of having the highest number of fintech companies in Africa. A good percentage of these companies offer loans, but minimal scrutiny meant many operated without regulatory approval, something the FCCPC moves to change.

ShareTweetPin

More Stories

Microsoft
News

Microsoft Announces 6,000 Global Layoffs to Streamline Operations and Invest in AI

2 weeks ago
Meta Image
News

Meta Clarifies Nigeria Chat Alert as Anti-Scam Measure, Not Discrimination.

3 weeks ago
AI powered Google Ads
News

Google Introduces AI-Powered Campaign Tools For African Businesses

3 weeks ago

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *


The reCAPTCHA verification period has expired. Please reload the page.

Trending Stories

Space Universe Africa: How the new technology company wants to power the future

NDIC Set To Probe Eyowo And 182 Other Microfinance Banks

Fintech Partnerships To Reduce Remittance Costs Across Africa.

Platos Health Secures $1.4Million Pre-Seed Funding to Launch Preventive Health Device in Nigeria.

Nigeria Launches First Indigenous AI Software To Transform Education.

How AI is Revolutionizing Search and Digital Experiences in Sub-Saharan Africa

In a major re-brand move, Aboki Africa is now Grey!

TLcom secures $150mn Pan-African tech fund to invest in 20 startups

President Buhari will unveil the e-Naira tomorrow

Facebook reportedly plans to change its name

  • About
  • Advertise
  • Privacy Policy
  • Contact
  • Jobs

© 2025 Digital Barker

No Result
View All Result
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos

© 2025 Digital Barker