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The Federal Government, through the Central Bank of Nigeria (CBN), has upgraded the operating licences of leading financial technology (fintech) firms and microfinance banks (MFBs), including Opay, Moniepoint, Kuda, PalmPay and Paga, granting them national authorisation to operate across the 36 states and the Federal Capital Territory (FCT).
The move formally recognises the expansive footprint of these digital finance companies, many of which already serve millions of customers nationwide and have effectively outgrown region-based licences. The upgrade aligns their regulatory status with the scale of their operations, ensuring they are fully authorised to operate across the country.
With the new status comes stricter regulatory obligations. The affected institutions will be subject to higher capital requirements, enhanced supervisory oversight, stronger consumer protection standards and more clearly defined mechanisms for dispute resolution.
Regulators say the upgrade is designed to close existing regulatory gaps, strengthen safeguards around customer funds and boost confidence in Nigeria’s rapidly growing digital financial ecosystem. It also reinforces the government’s financial inclusion agenda, as fintech platforms continue to play a critical role in extending financial services to underserved individuals and small businesses beyond the reach of traditional banks.
However, the CBN clarified that the licence upgrade does not convert fintech companies or MFBs into full-fledged commercial banks. Rather, it ensures that as these institutions scale their operations nationally, they do so under tighter supervision to promote stability, transparency and resilience within the financial system.
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