The Central Bank of Nigeria (CBN) has announced that mobile money operators, including fintech firms like OPay, Palmpay, Kuda Bank, and Moniepoint, will be allowed to resume onboarding new customers “in another couple of months.”
CBN Governor, Olayemi Cardoso, made this announcement during the bank’s 295th Monetary Policy Committee (MPC) meeting in Abuja.
Additionally, the MPC raised the interest rate from 24.75% to 26.25%.
This announcement follows a suspension by the CBN in April, which halted new customer enrollments for these companies.
Cardoso revealed that the apex bank has been working with many fintech players to strengthen their operations, implementing “remedial measures that will help that sector tighten up on onboarding and even existing clientele base” to prevent money laundering and illicit financial flows.
“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.
Cardoso dismissed claims of a crackdown on fintechs, asserting that the CBN “remains proud of the exploits of fintech firms” and aims to “support and strengthen them.”
When questioned about the suspension, the CBN governor clarified that the fintechs had not been subjected to any exceptional treatment, emphasising that the report of a clamp-down was “furthest from the truth.”
Cardoso noted that while the CBN is proud of the fintech sector’s rapid growth, regulation is crucial due to issues like illicit flows and money laundering, particularly in less-regulated parts of the banking system. He referenced recent scrutiny of illicit financial activities and money laundering, including those associated with cryptocurrencies, underscoring the need for increased surveillance.
He also confirmed that the apex bank has not revoked the licenses of any fintech organisations.
