…to clamp down on unsafe food oractices in markets
By Aliyu Galadima
Loan apps operating in Nigeria are to face as much as N100 million in sanctions as the Federal Competition and Consumer Protection Commission ,FCCPC, commenced efforts at addressing regulations around digital lending.
This came as the Commission announced the official commencement of the Digital, Electronic, Online, or Non-Traditional Consumer Lending Regulations ,DEON Consumer Lending Regulation, 2025.
Parts of the punishment for flouting will impose a N100 million sanction on non-compliant Digital Lending operators in Nigeria.
This development, announced in a press release by the FCCPC is aimed at addressing longstanding consumer complaints and related issues.
According to Mr Ondaje Ijagwu, Director of Corporate Affairs, FCCPC, the rule is expected to tackle “exploitative practices, data privacy violations, abusive loan recovery tactics, harassment, and anti-competitive behaviour by certain digital lenders and their partners within Nigeria’s rapidly growing digital credit market”.
According to a statement, the Commission’s Executive Vice-Chairman/Chief Executive Officer, Mr Tunji Bello, announced the gazetting and commencement of the regulations at his office in Abuja recently.
“For too long, Nigerians have endured harassment, data breaches, and unethical practices by unregulated digital lenders. These regulations draw a clear line that innovation is welcome, but not at the expense of the rights and dignity of consumers or the rule of law”.
He highlighted that the regulations provide the legal tools to hold violators accountable and promote responsible digital finance, adding that no consumer should be harassed, defamed, or lured into unsustainable debt under the guise of digital lending.
According to the FCCPC, the landmark Regulations, made pursuant to Sections 17, 18, and 163 of the Federal Competition and Consumer Protection Act (2018), primarily safeguard consumers by establishing a comprehensive framework.
The regulations, which came into effect on July 21, 2025, establish a robust legal framework to register, monitor, and sanction all forms of digital and non-traditional lending in Nigeria.
“Non-compliant operators face sanctions, which may include fines of up to N100 million or 1% of turnover, as well as potential disqualification of directors for up to five years”, the FCCPC warned.
The FCCPC stressed that this development is a crucial step toward regulating Nigeria’s rapidly expanding digital lending sector.
The Commission also highlighted that the new rule is applicable to all unsecured consumer lending conducted through electronic, online, mobile, or other non-traditional means. It also sets out clear requirements for registration, transparency, data privacy, ethical recovery, fair interest rates, and responsible lending.
“Critically, the Regulations prohibit pre-authorised or automatic lending, compel clear and accessible loan terms, ban unethical marketing, and mandate local ownership of at least one service provider for airtime and data lending services.
“It also requires joint registration of all lender partnerships and prohibits monopolistic or dominance-based agreements without prior Commission approval”, the statement partly reads.
The FCCPC urged all current and prospective providers of digital lending services, including Mobile Money Operators ,MMOs, Digital Money Lenders ,DMLs, and service partners, to visit the Commission’s website for application forms, guidelines, and compliance requirements.
In a related development, the FCCPC has vowed to sanction those involved in unsafe food practices like food adulteration and forced fruits ripening in markets.
Mr Olatunji Bello, gave the warning while addressing market women in Uyo, Akwa Ibom State capital at a one-day sensitisation programme on Forced Ripening of Fruits, Adulterated Palm Oil, Contaminated Meat and Grains, stressed that any food seller who places profit above the safety of Nigerians would face the wrath of the law.
The FCCPC chief, represented by the Director of Quality Assurance and Development, Dr. Nkechi Mba, explained that the FCCPC, being the apex consumer protection body in Nigeria, has the statutory mandate to promote consumer interests to ensure fair market practices and prevent dangerous conduct in all sectors of the economy and the agricultural sector.
“Let it be known that any operator who places profit over people will face the full wrath of the law.
“To the food industry stakeholders, note that the future of your businesses depends on your integrity. Upholding food safety and quality is not only a legal obligation but a moral duty”, he stated.
Mr Bello warned consumers to be knowledgeable and vigilant, informed, and always demand the standard deserved, saying the sensitisation exercise offered a platform to inform, educate and empower both consumers and industry stakeholders to foster greater awareness on the importance of proper food handling, labelling, regulatory compliance, and ethical conduct in the marketplace.
He disclosed that the sensitisation campaign was part of the Commission’s strategy to educate Nigerians on how to identify adulterated or contaminated food, the dangers of consuming chemically ripened fruits, and avenues for lodging complaints and seeking redress.
“Food safety is everyone’s responsibility and FCCPC remains firmly committed to working with all stakeholders to build a marketplace that is fair, transparent, and safe for consumers”, he added.
On his part, the Director, Consumer and Business Education at the Commission, Mr Yahaya Garba reminded consumers of their right to good health.
“It is disturbing to note that increasing incidences of harmful practices in food production and processes”, he added.
