In a significant move that will reposition Nigeria’s digital financial services sector, the Central Bank of Nigeria (CBN) has upgraded the operating licences of several leading Fintech firms and Microfinance banks to national status.
The announcement was made at the Committee of Heads of Banks’ Operations conference in Lagos by Yemi Solaja, Director of the Other Financial Institutions Supervision Department at the CBN.
Under the new regulatory framework, key digital financial services platforms including Opay, Moniepoint Microfinance Bank, Kuda Bank, Palmpay, and Paga, are now formally authorised to operate across all 36 States and the Federal Capital Territory, rather than under the limited regional licences they previously held.
The CBN explained that the upgrade recognises the real nationwide reach these companies have achieved through mobile technology and extensive agent networks. It also aligns regulation with the reality of their operations.
MUST READ: Yahaya Bello Trial: EFCC witness says Tax consultant acted in line with CBN regulations
Being granted a national licence means these Fintech platforms are now legally recognised as nationwide financial service providers.
Previously, some of the Fintech firms and Microfinance banks held licences that allowed them to operate only in specific States or regions, despite already serving customers across Nigeria through digital channels. With the upgrade, regulatory oversight will be stronger and more comprehensive.
The CBN has set higher capital requirements, for example, national microfinance banks now must maintain a minimum capital base of about ₦5 billion, compared with ₦2 billion under the older rules.
In addition to financial strength benchmarks, the new status comes with enhanced compliance, reporting, and consumer protection standards. The regulator is also stressing the need for these firms to maintain physical service points or branches in key locations, so customers, especially those in the informal sector, can access in-person support and dispute resolution when needed.
Analysts say the CBN’s move will help formalise the growing digital finance ecosystem, protect customers, and support the country’s broader financial inclusion and cashless economy goals.
(Editor: Ken Eseni)
