The Central Bank of Nigeria (CBN) has issued a series of regulatory frameworks that collectively define the compliance obligations of fintech companies operating in Nigeria. Whether you are running a payment service bank, a mobile money operator, a lending platform, or a cryptocurrency exchange, understanding the applicable CBN frameworks is essential to lawful operation.
The CBN Regulatory Landscape
Payments Service Provider Regulations 2020
The PSP Regulations 2020 restructured the licensing regime with distinct categories: PSS, MMO, Super Agents, PSSP, and PPF. Each has specific capital requirements and permissible activities.
Open Banking Framework
The CBN requires banks to make customer data accessible via APIs, subject to customer consent, under the Open Banking Framework 2021.
Virtual Assets Service Providers
The CBN issued Operational Guidelines for VASPs in December 2023. Entities offering virtual asset services must obtain a licence and meet AML, KYCR customer protection, and data management requirements.
AML and KYC Obligations
All CBN-regulated entities must maintain robust AML and KYC frameworks. Non-compliance can result in sanctions, fines, or licence revocation.
Conclusion
The CBN regulatory framework for fintech is detailed and evolving. A fintech business entering the Nigerian market needs to identify the correct licensing category, meet capital requirements, implement AML/KYC processes, with early regulatory engagement always preferable.
Contact Marturion Legal for licensing or compliance advice specific to your fintech business.