The Central Bank of Nigeria (CBN) has upgraded the operating licences of major FinTech companies and Microfinance Banks to national status, allowing them to operate across the country after meeting regulatory requirements.
The upgrade affects key players in Nigeria’s fast-growing digital finance space, including Moniepoint Microfinance Bank, Opay, Kuda Bank, Palmpay and Paga, many of which have expanded rapidly through mobile technology and extensive agent networks.
themomentng reports that the Director of the Other Financial Institutions Supervision Department of the CBN, Yemi Solaja, confirmed the development in Lagos at the annual conference of the Committee of Heads of Banks’ Operations.
According to him, the affected institutions had outgrown their former regional or state-level licences, as their operations already cut across the country.
“Institutions like Moniepoint MFB, Opay, Kuda Bank and others have now been upgraded,” Solaja said.
“In practice, their operations are already nationwide.”
Solaja stressed that despite their digital nature, FinTech firms must maintain physical offices to adequately serve customers, especially those in the informal sector.
“Most of their customers operate in the informal sector. They need a clear point of contact if any issues arise,” he said.
He explained that the requirement was aimed at strengthening consumer protection, dispute resolution and regulatory oversight in the fast-evolving digital finance ecosystem.
With the national licence upgrade, the affected FinTechs and Microfinance Banks are now subject to higher capital requirements and stricter operational standards.
For instance, a national Microfinance Bank is required to maintain a minimum capital base of ₦5bn, alongside functional offices for customer complaints and dispute resolution, even as they continue to leverage technology to drive financial inclusion.
The CBN noted that the reforms were designed to balance innovation with stability, ensuring that financial institutions expanding rapidly do so within a sound regulatory framework.
themomentng reports that the licence upgrade follows a series of enforcement actions by the apex bank aimed at strengthening compliance in the digital finance sector.
In 2024, the CBN imposed fines of ₦1bn each on Moniepoint and Opay for breaches related to Know-Your-Customer regulations, highlighting the regulator’s resolve to enforce standards and protect the financial system.
Industry watchers say the move signals the CBN’s recognition of the growing role of FinTechs in Nigeria’s economy, while also tightening oversight as their influence and customer base continue to expand.
