The Central Bank of Nigeria (CBN) has upgraded the operating licenses of several leading FinTech firms and Microfinance Banks to national status, allowing them to legally operate across all states of the federation after meeting strict regulatory conditions.
The upgrade affects fast-growing players such as Moniepoint MFB, Opay, Kuda Bank, Palmpay, and Paga, whose rapid expansion through mobile platforms and wide agent networks had already given them a nationwide footprint beyond their former regional licenses.
Yemi Solaja, Director of the Other Financial Institutions Supervision Department at the CBN, confirmed the development at the annual conference of the Committee of Heads of Banks’ Operations in Lagos. He explained that, in reality, many of these institutions were already serving customers nationwide before the formal upgrade.
Solaja stressed the importance of maintaining physical offices despite their digital nature, noting that a large portion of their users operate within the informal sector and require accessible locations for complaints, support, and dispute resolution when issues arise.
With the new national status, these institutions must now meet higher regulatory standards, including a minimum capital base of N5 billion for national Microfinance Banks. They are also required to strengthen compliance systems and customer protection frameworks while continuing to promote financial inclusion.
The move follows earlier enforcement actions by the CBN, including the N1 billion penalties imposed on Moniepoint and Opay in 2024 for Know Your Customer (KYC) compliance breaches. This signals the regulator’s determination to tighten oversight as digital finance continues to expand across Nigeria.
