Nigeria’s House of Representatives has begun legislative work on a bill to establish a Nigerian Fintech Regulatory Commission (NFRC), aimed at creating a single authority to license, supervise and regulate financial technology operators nationwide.

The proposal was examined at a public hearing on Monday, convened jointly by the House Committees on Digital and Electronic Banking; Banking Regulations; Communications; Science and Technology; and Capital Market and Institutions. 

Lawmakers and industry figures used the session to assess the legal and institutional consequences of consolidating oversight in one body for a sector that has expanded rapidly in recent years.

Opening the hearing, the Speaker, Abbas Tajudeen, said the bill seeks to end regulatory fragmentation, eliminate overlapping mandates and give investors and consumers clearer rules in Nigeria’s increasingly complex digital finance ecosystem.

He described fintech as a major engine of financial inclusion, youth employment and innovation, stressing Nigeria’s position as one of Africa’s leading centres for digital payments, blockchain solutions, digital assets and embedded finance. 

Regulation, he added, has struggled to keep pace with innovation, creating uncertainty and compliance difficulties for operators.

Tajudeen stressed that the proposed commission would not replace or weaken existing regulators, including the Central Bank of Nigeria (CBN), the Securities and Exchange Commission (SEC), the National Information Technology Development Agency (NITDA), and the Nigeria Deposit Insurance Corporation (NDIC). 

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He explained that the proposed commission would act as a coordinating and complementary body, focusing on emerging areas not fully covered by current frameworks.

The bill’s sponsor, Fuad Kayode Laguda, argued that the absence of a single regulator has forced fintech firms to deal with multiple agencies, creating operational bottlenecks and regulatory uncertainty.

Citing industry data, Laguda revealed the number of fintech companies operating in Nigeria rose from about 250 in early 2024 to more than 430 in 2025, while nine leading firms now hold a combined valuation of $10.6bn. 

He further asserted that startups in the sector raised over $520m in equity funding in 2024 alone.

Under the proposal, Laguda said, the NFRC would operate as a one-stop regulatory platform, set standards and codes of practice, strengthen consumer protection against digital fraud and online scams, and boost investor confidence through a more predictable oversight regime.

Also addressing the hearing, the chairman of the House Committee on Digital and Electronic Banking, Emmanuel Ukpong-Udo, described the bill as a strategic step towards a more responsive legal framework for Nigeria’s digital economy.

Ukpong-Udo believed that while fintech growth has improved financial inclusion and attracted local and foreign investment, it has also exposed weaknesses in supervision, consumer protection and coordination among regulators.

He therefore urged regulators, fintech firms, banks, consumer groups and cybersecurity experts to submit evidence-based input to shape the final legislation, assuring that the House would harmonise the bill with existing laws to avoid jurisdictional conflicts.