Nigerian Senate Passes Bill to Tighten Fintech Regulation

The Nigerian Senate has passed a bill to enhance the Central Bank of Nigeria's oversight of major fintech firms.

Senate Bill Details

The bill, titled A Bill for an Act to Amend the Banks and Other Financial Institutions Act, No. 5 of 2020, was passed by the Senate to strengthen the regulation of major financial technology companies and other non-bank financial institutions. It empowers the Central Bank of Nigeria (CBN) to designate these entities as Systemically Important Institutions (SIIs) based on their size, transaction volumes, and interconnectedness with the financial system.

Provisions and Support

The proposed amendment includes stress testing, cybersecurity safeguards, and enhanced corporate governance for designated institutions. It also mandates greater transparency in ownership structures and operational resilience. According to The Whistler, the bill received broad support from regulatory agencies and financial institutions, including the CBN, which advocated for effective, risk-based supervision of large fintech operators.

Public and Institutional Endorsement

The bill was presented by Senator Tokunbo Abiru, Chairman of the Senate Committee on Banking, Insurance and Other Financial Institutions. A public hearing on March 4, 2026, saw endorsements from various bodies, including the Federal Competition and Consumer Protection Commission (FCCPC), Nigeria Deposit Insurance Corporation (NDIC), and several banks. The FCCPC emphasized the need for clear boundaries between prudential regulation and consumer protection.

Sources

• thesun.ng: Senate moves to tighten CBN oversight of major fintech operators
• The Whistler: Senate Passes Bill To Tighten Regulation Of Fintech Firms

Prepared with AI from the sources below and our own data, reviewed by the editors before publishing.