The Central Bank of Nigeria (CBN) has announced that mobile money operators, including fintech companies like OPay, Palmpay, Kuda Bank, and Moniepoint, will resume enrolling new customers within the next few months.
This announcement was made by CBN Governor, Olayemi Cardoso, during the 295th Monetary Policy Committee (MPC) meeting in Abuja on Tuesday.
At this meeting, the MPC also increased the interest rate from 24.75 percent to 26.25 percent.
Cardoso emphasized that the CBN has been actively engaging with fintech players to strengthen their operations and ensure compliance with regulatory standards. He mentioned that the apex bank had implemented “remedial measures” to curb money laundering and illicit financial flows, aiming to enhance the onboarding process and the management of existing clientele.
“I am confident that as time goes on, and hopefully in another couple of months, all these will be something of the past and then you will see that sector going back into what they’ve been known to do before, but certainly with a very stronger regulatory framework,” Cardoso stated.
In April, the CBN halted fintech companies from onboarding new customers, a decision perceived by some as a clampdown on the financial sub-sector. Addressing this perception, Cardoso clarified that the CBN’s actions were not intended to single out fintech firms for exceptional treatment but were part of broader regulatory efforts.
“The fintechs have not been singled out for any exceptional kind of treatment,” Cardoso said. “The CBN is proud of the fintech sector’s growth and will continue to support and strengthen these firms. However, regulation is critical in a rapidly growing sector.”
Cardoso highlighted concerns over illicit financial flows and money laundering within the non-traditional banking system, particularly citing issues related to cryptocurrencies. He stressed the importance of heightened surveillance and regulatory measures to address these challenges.
“To address these concerns, we have collaborated with security agencies to identify areas requiring stricter regulations and surveillance,” Cardoso explained. “We needed to pause and work with different players to strengthen regulations, not to push them out of business.”
Cardoso also reassured that no fintech licenses have been revoked. “Let me re-emphasize that at this point in time, we have not revoked the licenses of any of the fintech organizations,” he stated.
