By Stephen Simon
The Federal Competition and Consumer Protection Commission (FCCPC) has resumed full enforcement of its Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, following a Federal High Court judgment affirming the agency’s authority to regulate Nigeria’s digital lending industry.
The judgment, delivered by Justice A.L. Allagoa of the Federal High Court in Lagos, dismissed a suit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN), which had challenged the Commission’s powers to issue and enforce the regulations. The court declined all the reliefs sought by the plaintiff and upheld the validity of the regulatory framework.
The court also discharged the interim order issued in April that had temporarily restrained the FCCPC from implementing the regulations pending the determination of the substantive suit. With the legal impediment removed, the Commission said the regulations have become fully operational once again.
FCCPC’s Director of Corporate Affairs, Ondaje Ijagwu, said the Commission suspended enforcement earlier in compliance with the court’s directive and would continue to discharge its statutory responsibilities in line with the law following the favourable judgment.
According to the Commission, the regulations were introduced to promote responsible lending practices, improve accountability in the digital lending sector, curb exploitative debt recovery methods and strengthen consumer protection as the online lending market continues to expand.
Industry observers believe the ruling strengthens the FCCPC’s ability to monitor digital lenders, enforce compliance with registration requirements, ensure transparency in interest rate disclosures and tackle complaints relating to data privacy violations and abusive loan recovery practices.
The Commission said it would continue engaging stakeholders while rolling out additional compliance measures aimed at ensuring that innovation in Nigeria’s financial technology sector develops within a transparent, fair and accountable regulatory framework that protects consumers and encourages responsible operators.
