Regulatory Storm: FCCPC explains suspension of lending rules

The Federal Competition and Consumer Protection Commission (FCCPC) has clarified its role in matters relating to digital lending and consumer protection, stating that its involvement is limited to its legal regulatory responsibilities.

In a statement issued on Sunday in Abuja, the Commission’s Director of Corporate Affairs, Ondaje Ijagwu, explained that the FCCPC operates under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations 2025 (DEON Regulations). These regulations were introduced to ensure transparency, fairness, and accountability among digital lending companies operating in Nigeria.

However, the FCCPC noted that the implementation and enforcement of the regulations have been temporarily suspended following a court order. According to Ijagwu, the suspension came after the Commission was served with an ex parte order by the Federal High Court in Lagos in a case filed by the Wireless Application Service Providers Association of Nigeria (WASPAN).

The case, identified as Suit No. FHC/L/CS/760/2026, challenges certain aspects of the regulations. As a result, the FCCPC said it is legally required to halt enforcement activities until the court reaches a final decision on the matter.

Ijagwu stressed that the Commission remains committed to obeying the rule of law and respecting judicial processes. He added that the court has fixed July 20, 2026, for further hearing and determination of the case.

The FCCPC also addressed reports circulating in some sections of the media claiming that it was involved in submitting the names of local fintech companies to the Presidency.

According to the reports, the companies were seeking approval or support to participate in the digital lending market as part of efforts to reduce capital flight from Nigeria.

Responding to the allegations, the Commission denied any improper involvement and maintained that its activities are strictly within the scope of its regulatory mandate. It emphasized that its primary responsibility is to protect consumers and ensure that businesses comply with existing laws and regulations.

The Commission assured stakeholders, including consumers, fintech operators, and investors, that it would continue to pursue all lawful processes concerning the matter while fully complying with the court’s directives. It also reaffirmed its commitment to promoting a fair, competitive, and transparent digital lending environment in Nigeria.

The FCCPC said it would provide further updates as the legal proceedings continue and encouraged all parties to await the court’s final decision.