FCCPC resumes digital lending enforcement after court victory in Lagos

The Federal Competition and Consumer Protection Commission (FCCPC) has resumed full enforcement of its Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025 (DEON Regulations) after winning a court case in Lagos. The development means telecom operators like MTN Nigeria and Airtel Nigeria, as well as digital loan apps, now face stricter compliance requirements.

In a statement issued on Monday, July 20, 2026, the FCCPC said the resumption followed a judgment delivered by Justice A.L. Allagoa of the Federal High Court, Lagos, in Suit No. FHC/L/CS/760/2026. The suit was filed by the Wireless Application Service Providers Association of Nigeria Ltd/Gte (WASPAN), which had challenged the FCCPC’s authority to issue and enforce the DEON Regulations.

Court upholds FCCPC authority

The Commission stated that the Court dismissed the plaintiff’s originating summons in its entirety, declined all the reliefs sought, and upheld the validity of the regulations. The FCCPC said the Court held the DEON Regulations were made pursuant to the Commission’s statutory and constitutional powers and were therefore intra vires, meaning they were within the legal authority of the agency.

The Court also discharged the interim ex parte order that had restrained the implementation and enforcement of the regulations since April 2026. The FCCPC explained that upon being served with the interim order earlier in the year, it immediately suspended implementation and enforcement of the DEON Regulations in compliance with the Court’s directive.

What the regulations mean for operators

Reacting to the judgment, the FCCPC’s Director of Corporate Affairs, Mr Ondaje Ijagwu, said the Commission remained committed to the rule of law and would continue to discharge its statutory responsibilities professionally. He noted that the Commission had suspended enforcement when the Court issued its interim order and would now proceed with implementation following the Court’s affirmation of the regulations.

Ijagwu explained that the DEON Regulations were designed to promote responsible lending, improve regulatory accountability, curb unfair and exploitative practices, and strengthen consumer protection in Nigeria’s digital lending market. The restored regulations are expected to have significant implications for telecom operators and fintech companies involved in digital lending, including airtime and data credit services. Operators and loan apps may now be required to comply with stricter registration, disclosure and consumer protection requirements before offering lending products.

Background to the legal dispute

Legit.ng earlier reported that telecommunications giants Airtel and Globacom had resumed airtime and data credit services across their networks after a six-week suspension triggered by regulatory concerns surrounding the FCCPC’s Digital Lending Regulations 2025. The restoration, which took effect on May 25, followed the FCCPC’s decision to suspend enforcement of the controversial regulations pending legal proceedings. The Commission, in a statement signed by its Director of Corporate Affairs, Ondaje Ijagwu, said the move was made in compliance with an order of the Federal High Court.

What this means for consumers and the naira

Industry observers say the FCCPC’s victory could lead to tighter oversight of Nigeria’s rapidly growing digital lending sector, ensuring that innovation and financial inclusion operate within a transparent, fair and accountable regulatory framework. For Nigerian consumers, this means stronger protection against exploitative loan practices and hidden charges, which could reduce the financial strain on households already battling high inflation and a volatile naira.