FCCPC Resumes Digital Lending Regulation After Court Victory

The FCCPC has resumed enforcement of Nigeria’s digital lending rules after a Federal High Court in Lagos upheld the validity of the regulations and discharged an interim order that had stopped implementation.

The case centred on the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, known as the DEON Regulations. The Federal Competition and Consumer Protection Commission said the judgment removed the legal barrier that had paused enforcement.

Punch reported that Justice A. Allagoa dismissed the originating summons filed by the Wireless Application Service Providers Association of Nigeria and rejected the reliefs sought by the association.

Vanguard reported that the court ruled the regulations were made within the FCCPC’s statutory and constitutional powers. The court also upheld the provisions challenged in the suit and discharged the restraining order against the commission.

The FCCPC said it would continue implementation of the rules, which are meant to bring digital, electronic and online consumer lending under clearer regulatory control.

The decision is likely to affect loan apps and other non-traditional lenders that have faced closer scrutiny over consumer complaints, privacy concerns and collection practices.

Sources: Punch, Vanguard