Suspending Digital Lending Rules Hands Market to Dominant Telcos – Group Warns

Consumer Rights and fintech advocacy groups have expressed concern over the suspension of the FCCPC’s Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations 2025, warning that the move could entrench monopolistic control by large telecommunications companies. According to the Nigerian Consumer & Competition Watch (NCCW), the DEON Regulations were designed to address years of consumer […]

Consumer Rights and fintech advocacy groups have expressed concern over the suspension of the FCCPC’s Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations 2025, warning that the move could entrench monopolistic control by large telecommunications companies.

According to the Nigerian Consumer & Competition Watch (NCCW), the DEON Regulations were designed to address years of consumer abuse in the digital lending space, including data misuse, harassment, and opaque pricing. “This suspension does not protect investors. It protects the big telcos and their partners,” said NCCW Executive Director Abdullahi Bello.

“The most vocal opponents of these regulations are not small Nigerian startups but dominant telcos and aggregation platforms with disproportionate market power.”

NCCW noted that similar regulations in India and Kenya initially faced resistance from large players but ultimately resulted in healthier fintech ecosystems and increased foreign investment.

The organization called on the House of Representatives to fast-track stakeholder engagement while allowing a phased implementation of the regulations rather than a blanket suspension. “A regulatory vacuum is not neutrality, it is a policy choice that accelerates the dominance of the big telcos,” Bello added.