NCC Partners With CBN, SEC To Strengthen Fintech Regulation In Nigeria

The Nigerian Communications Commission (NCC) ha partnered with the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) to strengthen the regulatory framework guiding the nation’s rapidly growing financial technology (fintech) sector.

Speaking at the Nigeria Fintech Week in Lagos on Wednesday, the Executive Vice Chairman of the NCC, Aminu Maida, emphasised the importance of collaboration among regulatory bodies in fostering innovation and ensuring the sustainability of Nigeria’s fintech ecosystem.

He highlighted the sector’s significance in driving financial inclusion and economic growth across the country.

Maida noted that the expansion of fintech across Africa is being shaped not only by technological innovations but also by the regulatory measures that guide its development.

 “As the fintech space evolves rapidly, so too must our approach to regulation. Smart regulation is key to unlocking the full potential of fintech in Nigeria and across Africa, ensuring inclusive, sustainable, and beneficial growth for all,” he stated.

In his address, Maida referenced the recent inauguration of the Regulators Forum by Vice President Kashim Shettima, which aims to enhance cooperation between regulatory bodies, including the Financial Reporting Council.

 He praised this initiative as a critical step towards fostering collaboration and improving regulatory oversight in Nigeria’s fintech space.

While reflecting on past efforts, the EVC recalled the 2018 Memorandum of Understanding (MoU) signed between the NCC and CBN on payment systems, which has led to significant strides in addressing systemic challenges within the fintech sector.

Maida acknowledged that the partnership has played a pivotal role in building a robust regulatory framework that supports financial inclusion and sustainable economic development.

He stressed the need for regulators to adapt. “The theme of this event underlines a crucial reality: regulation must evolve alongside technology. While the law often lags behind innovation, we must bridge that gap. When done correctly, smart regulation becomes an enabler of innovation and inclusion, rather than a barrier.”

The Vice Chairman further noted the role of regulatory sandboxes in creating an environment that encourages innovation by allowing fintech products to be tested within flexible regulatory parameters. This, he noted, is essential to fostering an innovation-friendly ecosystem.

Maida cited the country’s classification within the International Telecommunication Union’s benchmark for collaborative regulation, describing it as a testament to the nation’s strong regulatory practices in the telecom sector, which are now being extended to fintech.

He further stressed the importance of aligning Nigeria’s fintech regulations with global standards, particularly in areas such as cross-border transactions and remittances while noting that international cooperation is vital to ensuring that Nigerian fintech firms remain competitive on the global stage.

By Ibe Wada