House of Reps Moves to Create Nigerian Fintech Regulatory Commission

The House of Representatives has initiated legislative steps to establish a Nigerian Fintech Regulatory Commission (NFRC), aimed at serving as a single, specialised authority to license, supervise, and regulate financial technology operators nationwide.

The move follows a public hearing on the “Bill for the Establishment of the Nigerian Fintech Regulatory Commission and Related Matters,” convened by the House Committees on Digital and Electronic Banking, Banking Regulations, Communications, Science and Technology, and Capital Market and Institutions. Lawmakers and industry stakeholders discussed the legal and institutional implications of creating a unified regulator for the rapidly growing fintech sector.

Opening the hearing, Speaker of the House Abbas Tajudeen Abbas said the commission is intended to eliminate regulatory fragmentation, remove duplicative functions, and provide clarity for investors and consumers in Nigeria’s digital finance ecosystem. He highlighted that fintech is a key driver of financial inclusion, youth employment, and innovation, with Nigeria emerging as a leading hub in Africa for digital payments, blockchain solutions, digital assets, and embedded finance.

Tajudeen noted, however, that regulation has lagged behind innovation, creating compliance challenges and uncertainty for industry players. He emphasised that the NFRC would complement, not compete with, existing regulators such as the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC), National Information Technology Development Agency (NITDA), and Nigeria Deposit Insurance Corporation (NDIC). The commission will focus on emerging areas not fully addressed under current regulatory frameworks.

The bill’s sponsor, Fuad Kayode Laguda, said the absence of a single regulatory authority forces fintech operators to engage with multiple agencies, resulting in operational bottlenecks. He noted that Nigeria’s fintech sector has grown from about 250 firms in January 2024 to over 430 by 2025, with nine leading companies valued at a combined $10.6 billion as of January 2026. He added that fintech startups raised more than $520 million in equity funding in 2024 alone.

According to Laguda, the proposed NFRC would serve as a one-stop platform to enforce standards and codes of practice, protect customers from digital fraud and online scams, and enhance investor confidence through coherent and predictable oversight.

Emmanuel Ukpong-Udo, Chairman of the House Committee on Digital and Electronic Banking, described the bill as a strategic step toward a responsive and future-ready legal framework for Nigeria’s digital economy. He urged regulators, fintech operators, banks, consumer groups, cybersecurity experts, and development partners to provide evidence-based submissions to refine the bill. Ukpong-Udo assured that the House would harmonise the new law with existing regulations to avoid jurisdictional conflicts.

The NFRC, once established, is expected to strengthen supervision, protect consumers, and foster a safer, more transparent fintech ecosystem in Nigeria.