September 2026 Regulatory Roundup

Welcome to September’s edition of Regulatory Round-up, where we provide you with the latest regulatory developments across Nigeria, Africa, and beyond within the month. Let’s dive into a thoughtful, comprehensive update on recent developments in the regulatory landscape.

Table of Contents

Nigeria

1. SEC Proposes New Rules for Online Forex and CFD Trading
2. CBN Strengthens Supervisory Focus on Terrorism Financing Risk
3. NFIU Moves to Establish Joint Financial Intelligence Collaboration with Private Sector
4. CBN Cuts Monetary Policy Rate to 23 Per Cent
5. CBN and Ministry of Finance Formalise Fiscal-Monetary Policy Coordination
6. SEC Begins Implementation of IFRS Sustainability Disclosure Standards
7. NAICOM Issues Guidelines on Insurance Policyholders
8. PenCom Issues Circular on Asset Crossing Between Pension Funds
9. SEC Warns Investors as Dangote Refinery IPO Opens

Across Africa

1. Ghana Strengthens Regulation of Digital Credit Providers
2. Ghana Issues New Corporate Governance Guidelines for Payment Service Providers
3. South Africa Completes Transfer of Payment-System Functions to SARB and PayInc
4. Ghana Moves Towards Stronger Crypto-Market Supervision

The Globe

1. FATF Highlights New Money-Laundering Risks in Gaming and Gambling
2. UK Opens Authorisation Gateway for New Cryptoasset Regime
3. FATF Warns of Increasing Use of Underground Banking and Hawala for Professional Money Laundering

Mergers & Acquisitions

1. Circle Agrees $400 Million Acquisition of Tazapay
2. Grab Agrees $1.49 Billion Acquisition of Majority Stake in Atome Financial
3. S&P Global Agrees to Acquire OpenZeppelin

Deals and Raises

1. Nomba Secures $3 Million Debt Facility for Cross-Border Payments
2. Egypt’s Synapse Analytics Raises $13 Million to Expand AI Decisioning for Financial Institution.

1. SEC Proposes New Rules for Online Forex and CFD Trading

The Securities and Exchange Commission (SEC) published proposed Rules on Online Forex Trading and Contracts for Difference (CFDs), seeking to bring both local operators and offshore platforms targeting Nigerian residents within a formal regulatory framework. The proposal covers online forex brokers, introducing brokers and technology/platform providers, with proposed capital requirements ranging from ₦30 million for individual introducing brokers to ₦5 billion for technology and platform providers. The proposed framework also introduces operational, governance, cybersecurity and investor-protection requirements. Although the rules are not yet in force, operators serving Nigerian users should begin assessing how the proposed framework could affect their licensing, ownership, capital and operating models.

2. CBN Strengthens Supervisory Focus on Terrorism Financing Risk

The Central Bank of Nigeria (CBN) has elevated terrorism financing (TF) supervision to a current supervisory priority, with particular attention to TF risk management, transaction monitoring, targeted financial sanctions and suspicious transaction reporting. The Bank stated that it will continue using risk-based on-site and off-site supervision to assess AML/CFT/CPF controls in line with existing legal and regulatory obligations. This does not introduce a new terrorism-financing regulation; rather, it signals that existing controls will face closer supervisory scrutiny. Financial institutions should therefore ensure that their TF controls are not only documented but demonstrably effective in practice.

3. NFIU Moves to Establish Joint Financial Intelligence Collaboration with Private Sector

The Nigerian Financial Intelligence Unit (NFIU) convened a high-level engagement with banks, fintechs, insurers, virtual asset service providers and other stakeholders to develop a proposed Joint Financial Intelligence Collaboration (JFIC). The initiative is intended to create a structured public-private mechanism for sharing financial intelligence, identifying emerging threats and disrupting illicit financial networks. The development points towards greater collaboration between regulators and regulated entities in detecting money laundering, terrorism financing and other illicit financial flows. For financial institutions and VASPs, it also signals the importance of having reliable internal intelligence, escalation and information-sharing processes as Nigeria prepares for its next FATF/GIABA mutual evaluation.

4. CBN Cuts Monetary Policy Rate to 23 Per Cent

Following its September 21–22 Monetary Policy Committee meeting, the CBN reset the Monetary Policy Rate (MPR) from 26.5 per cent to 23 per cent and recalibrated the Standing Facilities Corridor to +50/-300 basis points around the MPR. The Cash Reserve Requirement remained at 45 per cent for Deposit Money Banks and 16 per cent for Merchant Banks. The decision represents a significant easing after the CBN maintained the MPR at 26.5 per cent at its two previous meetings and is intended to improve monetary-policy transmission as inflation continues to moderate. For financial institutions and businesses, the shift may affect funding costs, liquidity conditions and lending decisions.

5. CBN and Ministry of Finance Formalise Fiscal-Monetary Policy Coordination.

The Central Bank of Nigeria and the Federal Ministry of Finance signed a Memorandum of Understanding to institutionalise coordination between fiscal and monetary policy. The framework provides for regular consultation, information sharing and joint policy assessment while maintaining the CBN’s statutory independence. The move is intended to improve coordination around inflation, government spending, liquidity and broader macroeconomic management. For businesses operating in financial services, the development is relevant because closer policy coordination can influence the broader interest-rate, liquidity and funding environment.

6. SEC Begins Implementation of IFRS Sustainability Disclosure Standards

The SEC has drawn the attention of public companies and significant public-interest capital market operators to Nigeria’s adoption of the IFRS Sustainability Disclosure Standards, including IFRS S1 and IFRS S2. The standards are being introduced through a phased implementation roadmap developed by the Financial Reporting Council of Nigeria in collaboration with relevant stakeholders. The development moves sustainability reporting further into the formal disclosure framework for affected organisations. Companies within scope will need to consider how sustainability-related and climate-related information is collected, governed, verified and incorporated into their reporting processes.

7. NAICOM Issues Guidelines on Insurance Policyholders

The National Insurance Commission (NAICOM) published new Guidelines on Insurance Policyholders in September as part of its regulatory framework for the insurance sector. The development comes against the backdrop of the sector’s broader recapitalisation and reform programme under the Nigerian Insurance Industry Reform Act 2025. Stronger policyholder-focused requirements are significant for insurers because regulatory expectations are increasingly extending beyond financial capacity to customer protection, transparency and the quality of interactions with policyholders.

8. PenCom Issues Circular on Asset Crossing Between Pension Funds

The National Pension Commission (PenCom) issued a Circular on Asset Crossing between Pension Funds on 18 September 2026. The circular adds to PenCom’s continuing efforts to refine the operational and investment framework governing pension fund assets. For PFAs and other pension-industry stakeholders, such changes reinforce the need for investment, custody and governance processes to remain aligned with the Commission’s current requirements.

9. SEC Warns Investors as Dangote Refinery IPO Opens

The SEC issued a public notice following the opening of the Dangote Petroleum Refinery and Petrochemicals IPO, warning investors to use only approved subscription channels and to verify the registration status of intermediaries and platforms. The Commission specifically cautioned against unsolicited calls, social-media advertisements, WhatsApp messages and other unofficial channels offering preferential allocations. The notice highlights a broader regulatory concern around investment scams and the misuse of legitimate capital-market transactions to defraud investors. Businesses involved in financial promotion and investment distribution should ensure that their marketing and customer-acquisition channels do not create misleading impressions about regulatory approval or access to securities offerings.

1. Ghana Strengthens Regulation of Digital Credit Providers

The Bank of Ghana continued tightening oversight of digital lending in September, including identifying 20 mobile loan applications operating without the required licence or authorisation. The regulator warned that unlicensed digital credit providers create risks around consumer protection, customer data privacy and regulatory compliance. The development demonstrates Ghana’s move towards bringing digital lending more firmly within a supervised licensing framework. For fintechs operating across West Africa, the message is clear: offering digital credit in a market without first establishing the appropriate regulatory status can expose both the business and its customers to significant risk.

2. Ghana Issues New Corporate Governance Guidelines for Payment Service Providers

The Bank of Ghana published Corporate Governance Guidelines for Payment Service Providers in September under the Payment Systems and Services Act 2019. The guidelines reinforce governance expectations within Ghana’s rapidly expanding payments sector and provide a clearer framework for how payment institutions should structure oversight and accountability. This is particularly relevant for fintechs that are moving from founder-led operations towards more institutional governance structures. As payment businesses scale across African markets, governance is increasingly becoming a licensing and regulatory-readiness issue rather than simply an internal management concern.

3. South Africa Completes Transfer of Payment-System Functions to SARB and PayInc

South Africa completed the transition of key payment-system management functions following the withdrawal of the Payments Association of South Africa’s recognition as a Payment System Management Body. From 2 September, rule-making and the licensing, authorisation and registration of national payment-system institutions moved to the South African Reserve Bank, while certain payment-clearing functions moved to PayInc. The restructuring is intended to strengthen the regulatory and supervisory architecture of South Africa’s national payment system. For payment institutions and fintechs, the change means that SARB now has a more direct role in payment-system authorisation and oversight.

4. Ghana Moves Towards Stronger Crypto-Market Supervision

An IMF technical-assistance report published in September assessed Ghana’s regulation and supervision of crypto markets and activities, including stablecoins. The report found that Ghana’s regulatory direction is broadly aligned with international standards but identified further work needed around licensing, supervision and the completion of activity-specific guidelines. The findings are significant as Ghana moves from establishing its virtual-asset framework towards implementation and supervision. For African digital-asset businesses, the development reinforces the wider regional shift from regulatory uncertainty towards more defined licensing and supervisory regimes.

1. FATF Highlights New Money-Laundering Risks in Gaming and Gambling

The Financial Action Task Force (FATF) published new risk indicators for the gaming and gambling sector, highlighting emerging money-laundering, terrorist-financing and proliferation-financing risks associated with increasingly digital, cross-border and interconnected platforms. The report identifies practices such as the use of multiple accounts and payment methods, discrepancies between customer and payment information, suspicious betting patterns and complex ownership structures as potential indicators of illicit activity. The development is particularly relevant to fintechs and payment providers serving gaming businesses, as criminals may exploit payment channels and gambling platforms to move illicit funds without necessarily engaging in genuine gambling activity. Businesses operating in or supporting the sector should therefore consider whether their AML risk assessments and transaction-monitoring controls adequately capture these evolving typologies.

2. UK Opens Authorisation Gateway for New Cryptoasset Regime

The UK Financial Conduct Authority (FCA) published final perimeter guidance explaining which cryptoasset activities will require authorisation under the country’s forthcoming cryptoasset regime. The guidance covers activities including cryptoasset trading platforms, safeguarding, dealing and arranging, staking and qualifying stablecoin activities, with the authorisation application window opening on 30 September 2026. The new regime is scheduled to come into force on 25 October 2027, giving firms operating in the UK a transition period to prepare. For African crypto businesses serving UK customers or considering expansion into the market, the development makes regulatory mapping and early authorisation planning increasingly important.

3. FATF Warns of Increasing Use of Underground Banking and Hawala for Professional Money Laundering

A new FATF report published in September examined the use of underground banking, hawala and similar service providers in professional money-laundering schemes. FATF found that more than 80 per cent of reporting jurisdictions identified these systems among significant professional money-laundering channels or techniques, with some cases involving hundreds of millions of euros moved through such networks within only a few months. The findings are particularly relevant to cross-border payment businesses and remittance providers because informal value-transfer networks can intersect with legitimate financial channels. The report reinforces the need for institutions to understand how customers, counterparties and transaction flows connect to informal or alternative payment networks when assessing financial-crime risk.

1. Circle Agrees $400 Million Acquisition of Tazapay

USDC issuer Circle agreed to acquire Singapore-based cross-border payments infrastructure company Tazapay for approximately $400 million in an all-stock transaction. Tazapay brings payment rails, banking relationships and cross-border infrastructure across more than 100 markets, with a significant portion of its payment volume already involving stablecoins. The transaction reflects the growing convergence between stablecoin infrastructure and traditional cross-border payments. It also demonstrates how established digital-asset companies are increasingly acquiring regulated payment infrastructure rather than building every part of the payments stack themselves.

2. Grab Agrees $1.49 Billion Acquisition of Majority Stake in Atome Financial

Grab agreed to acquire a controlling 60 per cent stake in Atome Financial, the digital financial services platform of Advance Intelligence Group, for US1.49billion,includingUS260 million in primary growth capital. The transaction gives Grab greater control over a financial-services platform operating across several Southeast Asian markets, with the remaining approximately 40 per cent expected to be acquired later subject to regulatory approvals and other conditions. The deal reflects the continued expansion of large technology platforms into embedded finance and digital financial services. It also highlights the regulatory and licensing complexity that can accompany cross-border consolidation in financial services.

3. S&P Global Agrees to Acquire OpenZeppelin

S&P Global entered into an agreement to acquire OpenZeppelin, a major security infrastructure provider for on-chain finance. The transaction is designed to strengthen S&P Global’s capabilities around digital-asset risk assessment, on-chain security and tokenised financial markets. OpenZeppelin’s technology supports major stablecoins, tokenised funds and DeFi infrastructure, making the transaction significant beyond the traditional cybersecurity space. The deal reflects a broader institutional trend: as capital markets move on-chain, regulatory, compliance and technology-risk infrastructure are increasingly becoming part of the same ecosystem.

1. Nomba Secures $3 Million Debt Facility for Cross-Border Payments

Nigerian fintech Nomba secured a US$3 million debt facility through CardinalStone Finance Company to strengthen its cross-border payments operations in the Democratic Republic of Congo. The facility will provide additional US-dollar liquidity for transactions routed through banking relationships in Hong Kong and Singapore, supporting trade settlement between Central Africa and Asia. Nomba’s expansion illustrates the importance of liquidity and banking relationships in building scalable cross-border payment infrastructure. For African fintechs, access to appropriately structured financing can therefore be as important to international expansion as the underlying technology or customer base.

2. Egypt’s Synapse Analytics Raises $13 Million to Expand AI Decisioning for Financial Institutions

Egyptian fintech and AI company Synapse Analytics raised US $13 million in a Series A round led by Partech, bringing its total funding to US $17 million. The company provides AI-powered decisioning infrastructure for regulated financial institutions, covering areas such as onboarding, credit scoring, fraud detection, AML checks and collections. The raise highlights growing investor interest in technology that helps financial institutions automate risk and compliance processes while retaining greater control over decision-making. As regulatory expectations around responsible AI and financial risk management increase, this category of infrastructure is likely to become increasingly important to regulated financial institutions.

We hope you found our September Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our August Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

August 2026 Regulatory Roundup

Welcome to August’s edition of Regulatory Round-up, where we provide you with the latest regulatory developments across Nigeria, Africa, and beyond within the month. Let’s dive into a thoughtful, comprehensive update on recent developments in the regulatory landscape.

1. NRS Introduces New Tax Framework for Virtual Assets

The Nigeria Revenue Service (‘NRS’) has issued its Guidelines on the Taxation of Virtual Assets, providing an administrative framework for the taxation of cryptocurrencies, stablecoins, NFTs and other virtual assets. The Guidelines cover taxpayers, Virtual Asset Service Providers (‘VASPs’), P2P operators and other participants, with provisions addressing registration, reporting, record-keeping, valuation and applicable taxes. The development marks another step towards the formalisation of Nigeria’s digital asset market and means businesses operating in this space must now consider their tax obligations alongside licensing and AML requirements.

2. SEC Proposes New Rules to Strengthen Regulation of Digital and Virtual Assets

The Securities and Exchange Commission (‘SEC’) has released proposed rules covering the issuance, tokenisation, trading, custody, transfer, settlement, investment and advisory activities relating to digital and virtual assets. The proposed rules would apply not only to businesses operating in Nigeria but also to persons providing services to Nigerian residents or targeting Nigerian investors through digital channels. This signals a broader regulatory perimeter for digital assets and reinforces the need for businesses in this space to assess their licensing, governance, custody, disclosure and operational structures ahead of the final rules.

3. CBN Opens Second Regulatory Sandbox for Virtual Assets and Data-Enabled Financial Services

The Central Bank of Nigeria (‘CBN’) has opened the second cohort of its Regulatory Sandbox Programme, introducing dedicated tracks for Virtual Asset Service Providers and Data-Enabled Financial Services. The VASP track covers innovations involving stablecoins, payments, settlement, custody, wallets and related infrastructure, while the second track focuses on permission-based data sharing and other technology-driven financial services. This shows that the regulatory approach is increasingly shifting from simply restricting emerging technologies to creating controlled environments where innovative business models can be tested under regulatory supervision.

4. SEC Admits Additional Virtual Asset Firms into Regulatory Incubation Programme

The SEC has cleared three additional Virtual Asset Service Providers; Pisi Payments Solution Limited, BC Access (Nigeria) Limited and Yellow Card Financial Limited, for admission into its Accelerated Regulatory Incubation Programme (‘ARIP’). The approval-in-principle allows the firms to operate within the defined scope of the programme while remaining subject to regulatory conditions and supervision. The development further demonstrates the SEC’s move towards bringing digital asset businesses into a controlled regulatory framework rather than leaving the sector outside formal supervision.

5. SEC Tightens AML/CFT Requirements Following FATF Risk Updates

The SEC has directed capital market regulated entities to implement the latest Financial Action Task Force (‘FATF’) statements on high-risk jurisdictions and jurisdictions under increased monitoring. Regulated entities are also required to subscribe to Nigeria’s Sanctions Alerts system to ensure timely access to terrorist financing and proliferation financing designations. This reinforces the growing importance of sanctions screening, enhanced due diligence and transaction monitoring for businesses operating within Nigeria’s financial and capital markets.

6. Nigeria Moves Closer to Faster Capital Market Settlement with T+1 Clarification

The SEC has clarified the implementation of the T+1 settlement cycle for equities and commodities settled through the Central Securities Clearing System (‘CSCS’), confirming a 5:00 p.m. settlement deadline on the following business day. The Commission also clarified that foreign portfolio investors are not required to prefund their accounts, although capital market operators must maintain controls to ensure timely settlement. The move is expected to reduce counterparty risk, improve liquidity and make the Nigerian capital market more attractive to domestic and international investors.

7. Nigeria’s Payment Data Localisation Requirement Comes Into Sharper Focus

The CBN’s requirement that payment transaction data generated in Nigeria be stored and managed within Nigeria has become a major operational issue for banks, fintechs and payment service providers, with the compliance deadline set for 1 January 2027. Industry discussions in August have highlighted the scale of the transition, particularly for businesses dependent on international cloud infrastructure. For payment businesses, this is not simply an IT issue; it raises questions around data architecture, third-party contracts, cybersecurity, business continuity and compliance with Nigeria’s broader data protection requirements.

8. Federal Government Strengthens Data Protection Compliance Across Public Institutions

The Federal Government has directed Ministries, Departments and Agencies (MDAs) to comply fully with the Nigeria Data Protection Act 2023. The directive reinforces the government’s focus on responsible handling of personal data and strengthens the role of data protection in public administration. The development also reflects the wider direction of Nigeria’s privacy regime, where organisations are increasingly expected to demonstrate practical compliance rather than simply having data protection policies on paper.

9. NITDA Pushes Sovereign Cloud Infrastructure as Data Localisation Gains Attention

The National Information Technology Development Agency (‘NITDA’) and the Budget Office have inaugurated a multi-agency technical committee to advance implementation of Nigeria’s Sovereign Cloud initiative. The development comes amid growing regulatory and national-security concerns around Nigeria’s reliance on foreign cloud infrastructure. For businesses, the increasing focus on local infrastructure may have implications for how sensitive financial and personal data is stored, processed and transferred, particularly as sector-specific localisation requirements continue to develop.

10. CBN Eases Access to Its Discount Window for Banks

The Central Bank of Nigeria has removed restrictions that previously prevented banks from accessing its Standing Lending Facility where they had participated in the foreign exchange market or purchased government securities at primary auctions. Under the revised approach, participation in these activities will no longer automatically affect a bank’s eligibility to access the discount window. The change provides greater liquidity flexibility for banks and signals a more accommodating approach to managing funding and liquidity conditions within the financial system.

1. Ghana Publishes Full List of Virtual Asset Sandbox Participants

The Securities and Exchange Commission (SEC) Ghana has published the full list of entities admitted into its Virtual Asset Sandbox, covering activities such as asset tokenisation, virtual asset brokerage, exchanges, custody and trading platforms. The sandbox is intended to generate regulatory data that will help the SEC develop activity-specific licensing and registration requirements under Ghana’s Virtual Asset Service Providers Act, 2025. Ghana’s approach shows a growing preference across African markets for testing digital asset models within controlled regulatory environments before wider market access is permitted.

2. South Africa Moves to Strengthen Oversight of Cross-Border Crypto Transactions

The South African Reserve Bank (SARB) and National Treasury have published a draft Crypto Assets Manual for public comment, focusing on the treatment of cross-border crypto asset transactions and the responsibilities of authorised Crypto Asset Service Providers. The proposed framework seeks to bring greater clarity to cross-border crypto flows and reporting obligations. For businesses operating across African markets, this reinforces the need to consider foreign exchange, reporting, licensing and AML requirements when structuring digital asset transactions across borders.

3. South Africa Begins Transition of Key Payment-System Functions to SARB

The South African Reserve Bank has commenced the transition of payment-system market infrastructure functions previously handled by the Payments Association of South Africa (PASA) to SARB and PayInc. From 11 August, certain authorisation and registration functions moved to SARB, while existing authorisations remain valid unless otherwise determined. The transition strengthens SARB’s direct role in payment-system regulation and highlights the broader trend towards tighter oversight of payment infrastructure across African financial markets.

1. EU Begins Enforcement of AI Act Transparency Requirements

The European Union began enforcing key provisions of its Artificial Intelligence (AI) Act on 2 August 2026, including new transparency requirements for certain AI systems. Businesses may now be required to inform users when they are interacting with AI and to clearly identify certain AI-generated or manipulated content, including deepfakes. For fintechs and other technology businesses operating across borders, the development demonstrates that AI governance is becoming a practical compliance requirement covering transparency, risk management and responsible deployment of AI systems.

2. US SEC Proposes New Framework for Crypto Asset Offerings

The United States Securities and Exchange Commission (SEC) has proposed ‘Regulation Crypto Assets’, creating a tailored framework for certain investment contracts involving crypto assets. The proposal includes exemptions for offerings of up to $5 million over four years and up to $75 million in a 12-month period, subject to specified disclosure requirements. The proposal represents a significant move towards creating clearer routes for crypto businesses to raise capital while maintaining investor protection and securities-law safeguards.

3. US Treasury Moves Forward with Regulation of Payment Stablecoins

The US Department of the Treasury has issued a proposed rule to implement provisions of the GENIUS Act relating to the issuance, offering and sale of payment stablecoins. Under the emerging framework, persons generally will not be permitted to issue payment stablecoins in the United States without an appropriate federal or state licence once the regime takes effect. The development is significant for global payment and fintech businesses because it further moves stablecoins from the experimental space into a formal financial regulatory framework.

4. US Changes Beneficial Ownership Reporting Requirements

The Financial Crimes Enforcement Network (FinCEN) has finalised changes to the US Beneficial Ownership Information reporting framework. Under the new rules, US companies are exempt from BOI reporting requirements, while certain foreign companies registered to do business in the US remain subject to reporting obligations. The change demonstrates how beneficial ownership requirements continue to evolve globally and highlights the importance for multinational businesses of understanding the specific reporting obligations applicable in each jurisdiction.

1. Santander Completes Acquisition of Webster Financial Corporation

Banco Santander completed its acquisition of Webster Financial Corporation in August following regulatory approvals from the US Office of the Comptroller of the Currency, the European Central Bank and the Federal Reserve. The transaction strengthens Santander’s position in the US banking market and expands its customer base and commercial banking capabilities. The deal demonstrates the continued consolidation of financial institutions seeking greater scale and stronger market positions.

2. Citi Agrees to Acquire Kard Financial

Citi has entered into an agreement to acquire Kard Financial, a platform providing commerce media and rewards technology to banks and fintechs. The acquisition will allow Citi to combine Kard’s technology with its existing customer and merchant ecosystem to develop more personalized rewards and engagement offerings. The transaction highlights the growing interest among traditional financial institutions in acquiring specialised fintech capabilities rather than building them internally.

3. BMO and RBC Agree to Sell Moneris to Francisco Partners

Bank of Montreal (BMO) and Royal Bank of Canada (RBC) have agreed to sell Moneris, a major payments technology business, to private equity firm Francisco Partners for approximately C$2 billion. The transaction reflects continued investor interest in established payment infrastructure and technology businesses. It also demonstrates how payment processing and financial infrastructure remain attractive areas for strategic and private-equity investment.

1. Yellow Card Secures $40 Million to Expand Stablecoin Infrastructure

African stablecoin infrastructure provider Yellow Card has secured $40 million in strategic funding from investors including SC Ventures, Sony Innovation Fund, Polychain Capital and Blockchain Capital. The funding will support the expansion of its Global USD Accounts and stablecoin payment infrastructure connecting businesses to markets globally. The raise further demonstrates the growing investor interest in stablecoin infrastructure as African businesses seek faster and more efficient cross-border payment solutions.

2. Ventures Platform Closes Second Pan-African Fund at $84 Million

African venture capital firm Ventures Platform has closed its second institutional fund at $84 million, exceeding its original $75 million target. The fund will support early-stage companies across Africa, including businesses operating in fintech, healthcare, SaaS and other technology-driven sectors. The raise is particularly notable against a more cautious global venture market and reflects continued institutional confidence in African technology businesses with strong growth and infrastructure potential.

3. Jem Raises $8.4 Million to Expand Workforce Management Platform

South African workforce management fintech Jem has raised $8.4 million in a Series A round led by Quona Capital. The company, which serves more than 250,000 frontline workers across over 200 companies, plans to use the funding to accelerate product development and expansion. The raise highlights continued investor interest in fintechs solving practical business and workforce challenges rather than focusing solely on consumer payment products.

We hope you found our August Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our July Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

July 2026 Regulatory Roundup

The month of July invited several regulatory advancements, enforcements and initiatives directed to companies within the regulatory landscape. Let’s have a comprehensive look at these developments across Nigeria, Africa and worldwide.

Nigeria

1. CAC notifies Public of Intention to strike-off 100,000 Companies from Register
2. CAC mandates strict compliance with Sections 304(1) (2) & 709(C) of CAMA 2020
3. CBN Clarifies FX Access Framework for Bureau De Change Operators
4. SEC announces Electronic Registrations on its E-Portal for Capital Market Operators
5. SEC admits a total of Nine VASPS Into Its Accelerated Regulatory Incubation Programme
6. The NITDA Launches Sandbox Technical Working Group towards Encouraging Collaborative Regulatory Efforts for Digital Innovation
7. The NITDA Inaugurates Multi- Stakeholder Coordination Group to Support Digital Governance in the Country
8. FCCPC Resumes Full Implementation of the Provisions of the DEON Regulations
9. FCCPC directed to investigate Big Techs Over Alleged Infringement Against Nigerian Media Organisations
10. Senate Advances Bill to Require Global Social Media Platforms to Establish Offices in Nigeria

Africa

1. Kenya Consults Public Comments on AI Policy
2. Zimbabwe to Begin Data Protection Compliance Inspections

Global

1. Wolfsberg Publishes New Guidance on Banking Services to Non Bank PSPs
2. BSP, Philippines, issues AI Governance Principles for BSFIs

Mergers & Acquisitions

1. Iberdrola Agrees to Acquire 80% Stake in Caruna for €2 Billion Euros
2. Tempus AI Inc Set to Acquire Personalis, Inc at an Enterprise Value of $1.5 Billion

Crypto Scoop

Deals and Raises

1. CAC notifies Public of Intention to strike-off 100,000 Companies from Register

The Corporate Affairs Commission on 15 July 2026 released a notice to the general public, particularly registered companies, of its intention to commence another round of striking off names of companies found defiant in filing their annual returns and regularising their records with the Commission from the Register. This is in line with their powers as contained in section 692 (3)&(4) of the Companies and Allied Matters Act (CAMA) 2020.  The number of non-compliant companies identified this time was One Hundred Thousand. Access the list here. Consequently, affected companies were advised to file all annual returns, persons of significant control/beneficial ownership information and regularise their records with the Commission within 90 days of the notice, being 13 October 2026, otherwise, their names will be struck off the Register without further notice. This reflects that non-compliance with filing annual returns and other regulatory filing obligations can potentially make a company lose its legal status.

2. CAC mandates strict compliance with Sections 304(1) (2) & 709(C) of CAMA 2020

The Corporate Affairs Commission on 08 July 2026 issued a notice announcing its intention to enforce full application of the requirements of Section 304(1)(2) and Section 729[1](c) of the Companies and Allied Matters Act [CAMA] 2020 with respect to business letters. To this end, every registered company shall in all its business letters state its name,  registration number and registered address, and in all these business letters in which its name appear, shall state clearly and legibly, the present name [fore-name (or initials) and surname], former name [when applicable] and nationality (if not Nigerian) of every director of the company. Accordingly, non-compliance will be faced with attendant sanctions.

3. CBN Clarifies FX Access Framework for Bureau De Change Operators The Central Bank of Nigeria on 15 July 2026 issued guidance that provides a clearer and more structured process for licensed Bureau De Change (BDC) operators to purchase foreign exchange (FX) from Authorised Dealer Banks (ADBs) through the Nigerian Foreign Exchange Market (NFEM). The guidance sets out the approved route for BDCs to access FX and requires these transactions to be carried out through ADBs while meeting CBN requirements on documentation, reporting, and transparency. This development improves clarity on how BDCs can source FX from the official market and strengthens the CBN’s monitoring of BDC activities. For businesses and market participants, the guidance means that BDC FX transactions will increasingly be conducted through regulated channels, with greater focus on compliance and proper record-keeping.

4. SEC announces Electronic Registrations on its E-Portal for Capital Market Operators

To improve regulatory efficiency and support innovation, the Securities and Exchange Commission [‘SEC’] has announced on 29 July 2026 that it will commence full electronic registrations [e-registration] on its e-portal for all applications such as appointment of director, Removal/Resignation of Director, Opening of Branch Office, Letter of Good Standing, Change of Name, Change of Address and other related matters by all capital market operators starting Monday, 10 August 2026.

5. SEC admits a total of Nine VASPS Into Its Accelerated Regulatory Incubation Programme [ARIP]

On 2 July 2026 and 3 July 2026, the Securities and Exchange Commission [‘SEC’] admitted a total number of nine Virtual Assets Service Providers into its Accelerated Regulatory Incubation Programme [ARIP] which creates an access and avenue for these entities to test their products within the regulatory sandbox and under close regulatory supervision before launching them to the public. This admission indicates that SEC would be issuing an Approval-In-Principle to these cleared entities; while it does not signify or indicate licensing, it demonstrates that the Commission is taking efforts towards ensuring a more efficient and less regulatory stifled  means of approving and accepting digital assets service providers including Virtual assets service providers [VASPs]; where innovation is encouraged, investors are protected and the integrity of the capital market is safeguarded through the ARIP.

6. The NITDA Launches Sandbox Technical Working Group [TWG] towards Encouraging Collaborative Regulatory Efforts for Digital Innovation

With the pace of digital innovation, newer and more efficient approaches must be adopted by regulators so as not to stifle innovation while ensuring necessary compliance from concerned institutions. It is because of this reason that the Director of the Nigeria Information Technology Development Agency [NITDA] introduced the Sandbox Technical Working Group [TWG] which is a cross-agency framework, where regulators can come together and discover practical solutions towards encouraging innovation and maintaining effective oversight. This strategy involves a sandbox where innovators can test emerging technologies and solutions under the supervision and guidance of relevant regulatory authorities.

7. The NITDA Inaugurates Multi- Stakeholder Coordination Group to Support Digital Governance in the Country

The Nigeria Information Technology Development Agency [NITDA], recognising the global recognition that has followed the country’s digital governance, acknowledged that such recognition vests more responsibility on the country to sustain the progress. To this end, the Agency inaugurated a multi-stakeholder coordination group, a more inclusive group that will hold institutions accountable and support other frameworks already in place to ensure sustained digital transformation and governance in the country. Additionally, these stakeholders are urged to ensure that underserved communities, persons with disabilities, children and the elderly are not neglected in Nigeria’s digital transformation drive.

8. FCCPC Resumes Full Implementation of the Provisions of the DEON Regulations

Following the Court’s ruling on 20 July 2026 regarding the suit filed by the Wireless Application Service Providers Association of Nigeria [WASPAN] against the Federal Competition and Consumers Protection Commission [FCCPC] challenging the Commission’s authority to issue and implement the provisions of the Digital, Electronic, Online and Non-Traditional  Regulations [DEON Regulations] which prescribe responsible lending supervisory requirements and consumer protection in the digital lending market, the FCCPC may now fully commence the implementation of the DEON Regulations. The court held that it is fully within the Commission’s statutory and regulatory powers to enforce the provisions of the Regulations and dismissed the plantain’s claims in all its entirety.

9. FCCPC directed to investigate Big Techs Over Alleged Infringement Against Nigerian Media Organisations

This is following a joint petition submitted to the presidency by the Nigerian Press Organisation [NPO] claiming that Big technology companies have been involved in anti-competitive practices, unlawful exploitation of news content,and other potentially unfair market conduct. Also, Generative Artificial Intelligence [AI] platforms fall under the radar of investigation. While this effort is not directed at these entities with presumptions of wrong doing, rather, it is to conduct a careful inquiry of their operations and assess them as to whether they result in unfair business practices, i.e., whether their practices constitute a breach of the Federal Competition and Consumers Protection Act  (FCCPC Act) 2018. This move demonstrates efforts of the federal government and the FCCPC towards promoting media advocacy and protecting the interests of fair and trustworthy digital contents furthering the development of the democratic system.

10. Senate Advances Bill to Require Global Social Media Platforms to Establish Offices in Nigeria

Nigeria’s Senate has advanced a bill aiming to amend the Nigeria Data Protection Act, 2023 by requiring global social media platforms operating in Nigeria, like Facebook, Instagram, Tiktok, to establish and open local offices in the country. This initiative is aimed towards ensuring that these platforms are held accountable, promote transparency and enable easier regulatory enforcement reach for Nigerian regulators over these platforms. This bill is not yet  law; however, it signals the government’s direction for digital regulation. The push for a local presence reflects the government’s objective to ensure that companies with such a massive Nigerian user base are brought under direct supervision of regulatory authorities.

1. Kenya Consults Public Comments on AI Policy

As part of Kenya’s National Digital Strategy [2025 – 2030], the Country has released its Artificial Intelligence [AI] draft Policy, and to promote inclusion, has invited public comments on the development, adoption, deployment and governance of AI among other emerging technologies on or before 04 August 2026. Kenya has spent the last few years laying the groundwork for AI governance and pursuing AI regulation on multiple fonts, and this consultation is the closest and biggest step towards making this aim a reality. The AI Policy, if adopted, will shape how AI is used in Kenya for years to come, influencing everything from how startups build AI products, to how governments respond to intelligence systems and how citizens’ data is protected.

2. Zimbabwe to Begin Data Protection Compliance Inspections

Starting 01 September 2026, the country through the Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) will begin compulsory inspections of organisations collecting and processing personal data within the country with the aim to ensure that they are properly compliant with the provisions of the country’s Cybersecurity and Data Protection Act. The inspection will examine whether these businesses are compliant with data protection rules , cyber security measures, data governance , including whether they are licensed as data controllers. This inspection will take a risk-based approach, starting with sectors that hold large amounts of sensitive data. This initiative becomes relevant and crucial because it holds organisations holding personal information of data subjects accountable in order to ensure these sensitive data are not exploited for unlawful purposes that could further endanger data subjects’ well-being.

1. Wolfsberg Publishes New Guidance on Banking Services to Non Bank PSPs

To expand on its existing framework, the Wolfsberg group has introduced new guidance on the provision of banking services to non-bank Payment Service Providers [PSPs] which details and addresses common relationship types, associated risks, compliance obligations and risk management expectations for financial institutions providing these banking services to non-bank PSPs. This guidance provides a practical framework that will help banks to navigate the financial risks associated with providing their banking services to non-bank institutions while continuously promoting innovation.

2. BSP, Philippines, issues AI Governance Principles for BSFIs

With Artificial Intelligence [AI] becoming a major participant in digital innovation and in the financial system, Bangko Sentral ng Pilipinas [BSP] which is the Central Bank of the Philippines has issued governance principles for Artificial Intelligence [AI] use by the BSP-Supervised Financial Institutions [BSFIs].  The governance principles are sustainability, transparency, accountability, responsibility, and security (STARS). This guidance aims towards protecting consumers and preserving trust in the financial system. Hence, regulated financial institutions are urged to implement the guidance proportionately to the nature, extent, scale, complexity, and materiality of their AI systems while also taking into consideration the BSFI’s overall operational complexity and risk profile. Although, non-binding, these principles demonstrate minimum supervisory expectations for AI adoption in the Philippines.

1. Iberdrola Agrees to Acquire 80% Stake in Caruna for €2 Billion Euros

Ibredola, a massive Spanish electric utility company makes a major move into Finland with a recent agreement reached to acquire 80% of Finland’s largest electricity distribution company. The acquisition is expected to complete during the first quarter of 2027, subject to regulatory approvals.

2. Tempus AI Inc Set to Acquire Personalis, Inc at an Enterprise Value of $1.5 Billion

On 20 July 2026,  Tempus AI, Inc. (NASDAQ: TEM), a technology company leading the adoption of AI to advance precision medicine and patient care, announced a definitive agreement to acquire Personalis, Inc. The acquisition will expand Tempus capabilities in minimal residual disease (MRD) and enhance its ability to support patients from diagnosis and treatment selection, to recurrence and monitoring.

We hope you found our July Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our June Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

June 2026 Regulatory Roundup

Welcome to June’s edition of Regulatory Round-up, where we provide you with the latest regulatory developments across Nigeria, Africa, and beyond. Let’s dive into a thoughtful and comprehensive update on developments within the regulatory landscape this month.

1. CBN Launches Payments System Vision 2028

The Central Bank of Nigeria, having acknowledged the success of the Payments System Vision 2025, has launched the Payments System Vision 2028. Anchored on six guiding principles; interoperability, Security, Inclusion, Innovation, Trust, Collaboration. It would modernize payments infrastructure, strengthen regulatory and supervisory frameworks, fasten the adoption of digital financial services, and foster deeper collaboration across stakeholders. The end goal is to ensure efficient payment solutions across urban and rural areas within the country and create stronger cross-border integration and alignment with international standards that would place the Country in an important role of supporting intra-African trade and the evolving global payments ecosystem.

2. CBN issues Circular prescribing Market Structure, Data Localisation  and Ultimate Beneficial Ownership Disclosure

The Central Bank of Nigeria recently released a Circular mandating banks and other financial institutions facilitating payments  to maintain accurate and up to date records of ultimate beneficial ownership and upon request, disclose them. The Bank further directs that the storage and management of payment-transactions data generated within the country shall be done locally  with full compliance effective 07 January 2027. In addition, any licensed financial institution  in consumer issuing activities whether individually or as part of a group of related entities holding more than twenty-five percent (25%) market share in consumer issuing within any rolling twelve-month period shall not hold more than fifteen percent (15%) market share in merchant acquiring activities during the same period, and vice-versa. Concerned entities are required to submit monthly market share returns in accordance with prescribed templates and timelines.  Full compliance is expected on or before 31 December 2026. The purpose of these requirements is to further the Bank’s initiative towards advancing transparency, addressing concentration risk, promoting operational dependence and data integrity in payment facilitating institutions.

3. CBN releases Exposure Draft of the Guidelines on Ring Fencing Operations of Closely Linked Entities in the Nigerian Financial System

The Central Bank of Nigeria on 10 June 2026 released an exposure draft of the guidelines regulating ring fencing operations of closely-linked entities within the Country’s financial system. Specifically, the guidelines require independent operations of closely linked entities, thereby prescribing that closely-linked entities must separately maintain appropriate governance structures and meet minimum applicable capital requirements. Moreover, they are obligated to implement separateness covenants that guarantee segregated customer funds from other closely-linked entities and establish a non-operating holding company supervised on a consolidated basis. Likewise closely-linked entities are required to obtain clear customers’ consents in instances where a service of a closely linked entity is required. The draft guidelines are in line with the Bank’s mandate to promote a sound financial system, safeguard consumer interests and strengthen regulatory oversight within the country’s financial system.

4. CBN releases exposure draft on revised guidelines for licensing and regulating financial holding companies in Nigeria

The Central Bank of Nigeria on 10 June 2026 released an exposure draft on revised guidelines that would prescribe the licensing procedures of Financial Holding Companies as well as rules regulating their operations. The revised guidelines prescribe minimum capital requirements, addresses identified gaps in shared services agreements to prevent undue advantage over banking subsidiaries, establishes clear eligibility requirements, streamlines clear organisational structures of FHCs and prescribes ownership and control requirements requiring FHCs to hold a minimum of 51% equity stake in each subsidiary and to be registered as a person with significant control. The purpose of these revised guidelines is to strengthen the operational effectiveness and regulatory oversight of FHCs following evolving regulatory and market developments.

5. NIGSAC and OFAC update Sanctions List related to Terrorism and Terrorism Financing

The Central Bank of Nigeria in a circular dated 24 June 2026 notified all regulated financial entities  of the recent sanctions designations issued jointly by the Nigeria Sanctions Committee (NIGSAC) and the United States Department of the Treasury, Office of Foreign Assets Control (OFAC) and prescribes sanctions measures that must be immediately implemented by regulated banks and financial institutions. The measures include immediate screening of customers’ accounts against updated sanctions list, identifying and immediate freezing of assets connected to the designated persons and entities, Suspicious Transactions Reporting (STRs) to the Nigeria Financial Intelligence Unit (NFIU) upon any confirmed or suspected matches and increased monitoring. To ensure prompt and proactive compliance by institutions, all regulated entities must submit a report via the provided email detailing Match status (positive or negative),  Details of affected accounts, Amounts frozen/restricted, Actions taken, or Nil returns when non-applicable, within 48 hours of the circular. The mandatory sanctions measures are intended to secure and preserve the integrity of  financial systems against being used as systems for terrorism and public mishap.

6. Mandatory Prior NCC Approval for Changes in Ownership/Shareholding Structure

The Nigerian Communications Commission and the  Corporate Affairs Communication recently released a notice to the general public, stakeholders and investors about the new compliance measure that any proposed transfer of ownership or control of shares of 10% or more in a communications company must first be approved by the NCC by a letter of ‘No Objection’  before it is registered and effected at the CAC. Accordingly, the CAC would be expected to require evidence of such approval before effecting the registration. The essence of this requirement, according to the regulatory bodies, is to ensure fair market practices and promote regulatory certainty.

7. Nigeria Army Cyber warfare School Collaborates with the NDPC towards Advancing Data Protection and Privacy Awareness. Data Protection awareness has gone beyond merely optional but necessary, especially for personnel involved in combatting cyber threats and attacks, this statement was confirmed by the Army Cyber-warfare School led by Brigadier-General J.H. Bawa, who had taken proactive measures towards exploring areas of collaboration with the Nigeria Data Protection Commission (NDPC) specifically in training their personnel on data protection and privacy best practices as they build capacity to meet current global security realities. Other areas of collaboration also discussed include having the NDPC at the school’s annual workshop and incorporating data protection into their school curriculum.

8. SEC notifies the investing  public on Illegal coins and crypto-currency trading Operators

Within the month, the Securities and Exchange Commission declared an online crypto currency trading platform, called CMTRADING as unregistered, unauthorised and exhibiting the typical indicator of a fraudulent Ponzi scheme. Similarly, two other disguised coins named Zugacoin (with variants like SZCB and SZCB2) & Samzuga Gpt and Punisher Coin are not registered and not approved by the Commission for issuance to the public. Investigations uncover that they are meme coins. Accordingly, the investing public is urged to refrain from the  purchase or promotion of these coins or investing in the trading platform. Any engagement with them will be at their own risk. The investing public is further reminded of the need to always verify the authenticity of crypto or digital assets and trading platforms on the commission’s dedicated platform before engaging them.

1. Mauritian Government Approves New Regulations for  Data Protection Officers Effective January 2027

The Mauritian Government has approved the enactment of the Data Protection (Designation, Tasks and Position of Data Protection Officers) Regulations 2026, which set out the responsibilities and qualifications of Data Protection Officers (DPOs). Among others, the role of the officers include  monitoring compliance with the Data Protection Act 2017, acting as the liaison officer with the Data Protection Office and ensuring appropriate security measures are implemented. The implementation of this regulation signals a move towards ensuring proper and adequate data protection measures are implemented in organisations. A period of six months has been given for compliance with the Regulations with operation coming into force on 01 January 2027.

2. Kenya Approves New National Cybersecurity Agency

Through the National Cybersecurity Agency Order, 2026, the Kenyan National Security Agency (NCSA) was established and has been approved by Kenya’s Parliament. This agency is considered essential to oversee cybersecurity matters, ensure implementation of cybersecurity strategies and work closely with the government to coordinate national responses to cybersecurity incidents. Accordingly, due to the advancement of digital financial services in the country, the establishment of this agency has become necessary in order to coordinate and ensure proper enforcement of cyber-security efforts in the country.

3. Kenya reveals proposal to commercialise Government Data through National Marketplace

The Ministry of Information, Communication and the Digital Economy (MICDE) has unveiled a draft National Data Governance Policy that proposes to create a legal, commercial and governance framework for monetising non-personal government data like business registration trends, passport and immigration application volumes by region, birth death and marriage registration statistics, large transaction volumes, regional agricultural production data, and a National Data Governance and Emerging Technologies Council that would oversee the implementation. This initiative is aimed at making at least 1,000 datasets available over the next five years, and is projected to generate revenue for the government through licensing and data access fees.

1. The European Commission sets out Code of Practice on Marking and Labelling of AI-generated Contents

The Code of Practice  serves as a voluntary practical guideline for deployers and providers of generative Artificial Intelligence (AI) in complying with the AI Act transparency obligations that will be effective from 02 August 2026. The obligations include clear labelling of Deepfakes and AI-generated or AI-manipulated text published on matters of public interest. It also includes that users must also be informed when they are interacting with an interactive AI system, such as a chatbot. These requirements become necessary to help people recognise when content has been generated or altered by AI, which will reduce the risk of deception and manipulation.

2. Swatch pursues $170 million in damages from Samsung over trademark infringement Following the alleged accusation of Samsung’s trademark infringement allowing digital replicas of popular Swatch Models, Omega and Tissot timepieces on its smartwatches. This is not the first time such an accusation would arise, as sometime in 2022, Samsung faced the same charge and was found liable for trademark infringement by a London Court. A ruling on damages is expected soon following the conclusion of a trial on Friday.

Indian Fintech, Cred, secures 900 million Dollars Investment from Meta at a 4.5 billion dollar valuation

I-Pulse secures 250 Million US Dollars in a deal with the United States Department of Commerce to advance its Pulsed-power Technology

We hope you found our June Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our May Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

May 2026 Regulatory Roundup

Welcome to May’s edition of Regulatory Round-up, where we provide you with the latest regulatory developments across Nigeria, Africa, and beyond within the month. Let’s dive into a thoughtful, comprehensive update on recent developments in the regulatory landscape. 

Nigeria 

1. SEC Warns Against Unregistered Online Investment Schemes 
2. EFCC Arrest of Saleh Mamman Signals Tougher Clampdown on Fraud and Money Laundering 
3. NAICOM and BPP Join Forces to Tighten Insurance Checks in Public Contracts 
4. Weak KYC on Glovo and Chowdeck Raises Compliance Concerns 
5. NGX RegCo Boosts Investor Confidence with Over N500 Million in Recoveries 
6. NDPC Expands Data Protection Push with BPP and Governors’ Forum 
7. NRS and JRB Launch Unified Tax ID System for All Taxpayers in Nigeria 
8. CBN Holds Rates Steady to Curb Inflation and Support Economic Stability 
9. The Federal Ministry of Communications, Innovation, and Digital Economy, in collaboration with Meta launch GovGuide 
10. Nigeria’s Digital Regulators Flag Data Sovereignty Risk as Over 90% of National Data is Hosted Outside Its Borders 

Across Africa 

1. SEC Ghana Positions Virtual Assets to Create First Generation of Young Self‑Made Millionaires and Billionaires 
2. Kenya mandates X to establish a local office in 90 days 
3. Malawi’s Communications Regulatory Authority (MACRA) sensitises Courier Operators towards the move to enforce data privacy in this sector 

The Globe 

1. Cambordia charges more than 50 suspects of fraud and money laundering 
2. North Korean Hackers affiliated to 60% of total Crypto Theft Losses in 2025
3. UK Romance Fraud Surges Past £100 Million as Regulators Push Stronger Protections 

Mergers & Acquisitions 

1. Long Lake agreed to acquire Amex GBT in a $6.3bn deal. 
2. Bullish set to acquire Equiniti for $4.2bn 
3. Carta enters the legal sector through its acquisition of Avantia. 

Deals and Raises 

1. Tanzanian fintech startup NALA has secured up to $50 million in credit facilities to expand its global stablecoin payments infrastructure and fuel its next growth phase. 
2. Fasset has secured $51 million in fresh funding to accelerate the expansion of its stablecoin‑powered banking and payments platform across emerging markets in Asia, Africa, and the Americas. 
3. Fasset Raises $51 Million to Scale Stablecoin‑Powered Digital Banking Services.

1. SEC Warns Against Unregistered Online Investment Schemes 

The Securities and Exchange Commission (‘SEC’) has issued a fresh warning about the rising promotion of unregistered online investment schemes on social media, describing them as unauthorized and potentially fraudulent and bearing the hallmarks of Ponzi or other prohibited investment arrangements. Accordingly, investors are urged to verify the registration status of any platform, company, or scheme before parting with funds, as doing otherwise exposes them to the risk of becoming victims of fraud without regulatory protection. This also signifies the importance of businesses staying compliant with regulatory standards, as it keeps them within a closely regulated and controlled environment, reassuring trust and transparency. 

2. EFCC Arrest of Saleh Mamman Signals Tougher Clampdown on Fraud and Money Laundering 

In May, investigators arrested former Power Minister Saleh Mamman in Kaduna after he was convicted of diverting over ₦22 billion meant for hydroelectric projects. The arrest underscores Nigeria’s ongoing anti-corruption drive under the EFCC, showing that even high-level officials can face accountability for fraud and money laundering.  The case reflects the increasing resolve of Nigerian supervisory authorities to clamp down on fraud, money laundering, and abuse of public office, and corrupt administrators are not exempted. 

3. NAICOM and BPP Join Forces to Tighten Insurance Checks in Public Contracts 

The National Insurance Commission (NAICOM) and the Bureau of Public Procurement (BPP) signed a memorandum to strengthen insurance compliance in public contracts, aiming to improve transparency and verification in government procurement. This supports NAICOM’s reform agenda (recapitalization, legal modernization, higher insurance penetration) and BPP’s push for digital processes to reduce corruption. For industry players, this signals tougher oversight and more reliance on insurance bonds in public tenders.

4. Weak KYC on Glovo and Chowdeck Raises Compliance Concerns
   A Techpoint Africa investigation found that food delivery apps Glovo and Chowdeck lacked adequate vendor due diligence. Investigators easily onboarded a fictitious “restaurant” using fake documents, exposing weak KYC (Know-Your-Customer) controls. This shortfall heightens fraud risk and undermines platform integrity, reminding regulators and firms that strict customer/vendor verification is essential to prevent financial loss and reputational damage. Ultimately, compliance is not a mere formality; it is the legal and operational safeguard that protects the market, its users, and the integrity of the business ecosystem. 

5. NGX RegCo Boosts Investor Confidence with Over N500 Million in Recoveries

NGX Regulation Limited (‘NGX RegCo’) recovered over N500 million in investor complaints against market operators. In one case, it secured N326.85 million for an investor over an unauthorised share transaction. The recoveries address legacy issues such as unauthorised trades, disputed proceeds, and account discrepancies. They were supported by stronger surveillance, post-trade controls, and settlement reforms, including direct cash settlement. The move underscores efforts to deepen trust, accountability, and confidence in the capital market.

6. NDPC Expands Data Protection Push with BPP and Governors’ Forum
   Nigeria Data Protection Commission (‘NDPC’) has signed MoUs with the Bureau of Public Procurement (‘BPP’) and the Nigeria Governors’ Forum to strengthen data protection and privacy compliance. The move is aimed at bringing data governance closer to public procurement and state-level administration. For the public, it signals stronger accountability and better protection against misuse of personal data. It also shows NDPC is using collaboration to drive compliance across institutions. In practical terms, data protection is becoming a core part of how the government is expected to operate.

7. NRS and JRB Launch Unified Tax ID System for All Taxpayers in Nigeria
   The Nigeria Revenue Service (NRS) and Joint Revenue Board (JRB) have introduced the Tax ID under the Nigeria Tax Administration Act, 2025. It gives every taxable person in Nigeria a single tax identity for all tax dealings. The system is designed to simplify compliance, improve transparency, and reduce duplication. It will replace the existing TIN Validation API for MDAs, financial institutions, and other organizations. For integration or validation, contact the JRB for individuals, enterprises, and business names, or the NRS for corporate entities.
   
8. CBN Holds Rates Steady to Curb Inflation and Support Economic Stability
   In its May meeting, the Central Bank of Nigeria kept its Monetary Policy Rate at 26.5% and maintained high cash-reserve ratios to continue fighting inflation. This move signals a preference for price stability despite some relief efforts.  For the public, this may help ease price pressures gradually, though credit will likely remain costly. For financial institutions, it means tighter liquidity, as banks must still keep substantial funds with the CBN. The update is important because it shows a continued preference for price stability over cheaper credit. Overall, it signals caution and a deliberate effort to steady the economy. 

9. The Federal Ministry of Communications, Innovation and Digital Economy in collaboration with Meta launch GovGuide
   The Federal Ministry of Communications, Innovation and Digital Economy (FMCIDE) in collaboration with Meta, has launched GovGuide, an AI chatbot designed to give Nigerians easier access to comprehensive information on government services. It signals how public institutions are adopting technology to modernize service delivery.  By leveraging artificial intelligence, the Ministry is making public services more accessible and responsive.
   
10. Nigeria’s Digital Regulators Flag Data Sovereignty Risk as Over 90% of National Data is Hosted Outside Its Borders
    Nigeria’s digital regulators have sounded a strong warning that over 90% of the country’s data is hosted outside its borders, calling this a major risk to national security, economic resilience, and digital sovereignty. NITDA and the Nigeria Data Protection Commission highlighted the need for urgent investment in local data infrastructure, including the Nigerian Sovereign Cloud Project, aimed at strengthening domestic cloud providers, cutting reliance on foreign hyperscalers, and bringing data hosting back into the country.
    

1. SEC Ghana Positions Virtual Assets to Create First Generation of Young Self‑Made Millionaires and Billionaires 

The Securities and Exchange Commission [‘SEC’] Ghana has positioned the country’s virtual assets ecosystem as a catalyst for a new era of wealth creation, potentially producing Ghana’s first generation of self‑made millionaires and billionaires under 40. To achieve this, it has established a Virtual Assets Committee and is working with the Bank of Ghana to implement the Virtual Asset Service Providers Act, 2025, to balance innovation with market stability and investor protection. 

2. Kenya mandates X to establish a local office in 90 days 

The social media platform, X, has been put under a 3-month timeline to establish a local physical presence in the country. This requirement, according to the Cabinet Secretary for the Ministry of Information, Communication and the Digital Economy, forms part of the broader effort towards discouraging social media participation of underage individuals, enforcing content moderation, and ensuring stricter accountability and transparency in the country. 

3. Malawi’s Communications Regulatory Authority (MACRA) sensitises Courier Operators towards the move to enforce data privacy in this sector
   The advent of more businesses relying on online orders and utilising digital systems to provide their services also means more disclosure of personal data of customers that the logistics company or courier services would need to obtain to make package deliveries. This realisation shows an underlying risk of misuse of personal data by these companies, hence prompting the Communications Regulatory Authority to take proactive actions against this. They have organised a workshop to educate these companies on what they can and cannot do with customer records and how to properly manage customer information under the Data Protection Act. This act is driven by an understanding that Trust is now a part of the business. 

1. Cambordia charges more than 50 suspects of fraud and money laundering
   The Cambodian authority has taken bold steps towards curbing money laundering and enforcing improved compliance with regulatory efforts following the recent raids that happened in certain provinces of the country. This raid uncovered several money laundering and fraudulent activities that had been taking place in some areas, some of which had been ongoing since 2024. This step has been applauded by the UNODC, while the investigator and founder of Operation Emrock commented that scams remain a major issue in the country. The situation of fraud has, in fact, led to new legislation that stipulates a life imprisonment sanction for fraud-related activities/offences in the country.

2. North Korean Hackers affiliated to 60% of total Crypto Theft Losses in 2025

Cryptocurrency theft is believed to have become a major revenue stream for the North Korean state, used to support its nuclear weapons program. In just one 2025 incident, North Korean hackers stole $1.5 billion from the cryptocurrency firm Bybit, the largest cryptocurrency theft ever recorded. Although among the recorded theft incidents, only 12% was recorded to be from North Korea, it signifies how they focus on high-value targets. The laundering process is confirmed to be complex where the report reveals that the famous Bybit theft, the stolen ETH was laundered into Bitcoin within a month. To limit risk, CertiK has urged potentially vulnerable companies to use video interviews with liveness checks and background verification designed to detect AI and borrowed identities, apply zero-trust security policies to remote freelancers, inform employees of social engineering risks, introduce withdrawal delays, and protect critical infrastructure such as bridges and hot wallets. 

3. UK Romance Fraud Surges Past £100 Million as Regulators Push Stronger Protections
   UK victims lost over £102 million (about $138 million) to romance fraud last year as criminals increasingly used fake online relationships to manipulate people into sending money, according to the City of London Police. Authorities are urging firms and consumers to treat unsolicited romantic contacts that quickly ask for money or avoid video calls as potential red flags and to report such activity promptly through the national fraud‑reporting service.

1. Long Lake agreed to acquire Amex GBT in a $6.3bn deal.
   Long Lake Management, a US-based investment management firm, has entered into an agreement to acquire American Express Global Business Travel, an enterprise travel management platform, for $6.3 billion in an all-cash transaction.
   
2. Bullish set to acquire Equiniti for $4.2bn
   Bullish, a crypto exchange and Blockchain Technology group, has secured an acquisition deal with Equiniti, a Shareholder Services Company. amounting to $4.2 billion. This deal is set to close by January 2027 following regulatory approvals and standard closing requirements.
   
3. Carta enters the legal sector through its acquisition of Avantia.
   Carta, a software company that manages equity, cap tables, and valuations for companies and investors, is expanding into legal services by acquiring Avantia, a legal and compliance service firm that implements AI to execute solutions provided. The deal’s financial terms remain undisclosed. 

1. Tanzanian fintech startup NALA has secured up to $50 million in credit facilities to expand its global stablecoin payments infrastructure and fuel its next growth phase.
2. Fasset has secured $51 million in fresh funding to accelerate the expansion of its stablecoin‑powered banking and payments platform across emerging markets in Asia, Africa, and the Americas. 
3. Fasset Raises $51 Million to Scale Stablecoin‑Powered Digital Banking Services

We hope you found our May Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our April Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

April 2026 Regulatory Roundup

Welcome to our April Regulatory Roundup from Regcompass. In this Regulatory Update, we bring you the very latest regulatory news and insights across Nigeria, Africa, and beyond. Beyond reporting developments, we interpret what these changes mean for regulated institutions, fintechs, and market entrants, highlighting emerging risks, compliance obligations, and strategic opportunities.

Table of Contents

Regulatory Updates in Nigeria

1. Court Halts FCCPC Lending Regulations Enforcement.
2. CBN Launches Crypto AML/CFT/CPF Supervision Pilot
3. CBN Orders Submission of Upgraded AML Systems Before Deadline
4. Flutterwave Achieves Major Milestone with Nigerian Banking Licence.
5. CBN Warns Public   Against Fraudulent Messages and Fake     Online Communications
6. CBN Tightens BVN Framework With Device Restrictions and Enhanced Fraud Controls (Effective May 1)
7. NDPC Begins Investigation Into Alleged Data Breach at CAC

Across Africa: Welcoming Innovation while addressing challenges

1. Kenya’s Central Bank Updates the List of Licensed Digital Credit Providers.
2. Cabinet Submits the Conduct of Financial Institutions (COFI) Bill to the Parliament
3. The Bank of Ghana Collaborates with SEC and FIC to Register and Licence VASPs in Ghana.

Across the world

1. U.S Regulators Assures The Bank of England on Handling Bank Failures.
2. FinCEN Proposes Rules to Reform Financial institutions’ AML/CFT Programs.
3. UK OFSI Fines Apple £390,000 in Landmark Settlement Case

Crypto Scoop

1. Pakistan Ends 2018 Ban, Allows Banks to Service Licensed Crypto Providers
2. Ripple Targets Africa Growth as Crypto Usage Jumps 52%

Deals and Raises

Merger and Acquisition

1. COURT HALTS FCCPC LENDING REGULATIONS ENFORCEMENT

The Federal Competition and Consumer Protection Commission has been temporarily restrained by a Federal High Court in Lagos from enforcing key provisions of its 2025 digital lending regulations, following a suit by Wireless Application Service Providers Association of Nigeria. The court granted an interim injunction pending a substantive hearing in 2026, which means, lenders can continue existing nano-credit products (like airtime/data loans) until the case is resolved. It should be noted that Telcos in Nigeria announced it has paused its “Xtratime” airtime-and-data loan product to comply with the new FCCPC rules. The dispute reflects a continuous overlap between consumer protection, telecom, fintech, and data privacy regulators in Nigeria. The eventual ruling could become an important precedent for how fintech regulations are structured and enforced.

2. CBN LAUNCHES CRYPTO AML/CFT/CPF SUPERVISION PILOT

The Central Bank of Nigeria has launched a supervisory pilot program for crypto and payment service providers, including Flutterwave, Paystack, cNGN, Juicyway, KoinKoin and KuCoin to assess risks . This Pilot mandates monthly metrics and reviews on customer onboarding, transaction monitoring, AML/CFT controls in virtual assets environment including the travel rule control, sanctions screening, etc from these institutions, to boost integrity without granting licenses. This effort shows regulators are targeting practical control gaps rather than announcing new headline rules. It also aligns with Nigeria’s effort to maintain credibility after exiting the Financial Action Task Force grey list.

3. CBN ORDERS SUBMISSION OF UPGRADED AML SYSTEMS BEFORE DEADLINE

Following baseline standards issued in March, the CBN now requires every bank and regulated institution to submit a detailed roadmap (using the prescribed CBN template) by 10 June 2026 for upgrading to automated AML/CFT/CPF systems. In effect, traditional manual processes must be replaced by real-time, integrated compliance engines. Firms that delay risk heavy penalties (NN10M daily) and likely regulatory scrutiny. This mandate sharply raises the bar: banks and fintechs should now be actively planning system overhauls or vendor procurements to meet the June deadline.

4. FLUTTERWAVE ACHIEVES MAJOR MILESTONE WITH NIGERIAN BANKING LICENCE

Nigerian payments unicorn Flutterwave announced it secured a CBN-approved Microfinance Banking license. This allows Flutterwave to hold customer deposits and offer banking services (accounts, payments, lending) directly, rather than routing everything through partner banks. It also signals regulator openness to new digital banks emerging from tech firms.

5. CBN WARSNS AGAINST FRAUDULENT MESSAGES AND FAKE ONLINE COMMUNICATIONS

The Central Bank of Nigeria alerted the public to a rise in fake CBN messages and phishing attempts. These communications are designed to mislead recipients and prompt unsafe actions such as clicking malicious links or sharing sensitive information. By directing the public to its official website, the Bank is reinforcing a single source of truth for verification. CBN’s stance highlights the increasing importance of user awareness as a first line of defense alongside institutional cybersecurity investments. The advisory implicitly reinforces the need for stricter digital hygiene and stronger authentication practices across Nigeria’s financial ecosystem.

6. CBN TIGHTENS BVN FRAMEWORK WITH DEVICE RESTRICTIONS AND ENHANCED FRAUD CONTROLS (EFFECTIVE MAY 1)

The Central Bank of Nigeria is recalibrating the BVN framework to address rising digital fraud vectors, particularly those linked to mobile banking access and identity compromise. Measures targeting SIM-swap and phone number changes indicate a direct response to identity takeover risks prevalent in Nigeria’s telecom-banking interface. Also, the BVN watchlist and temporary restrictions mirror elements of global AML surveillance but are adapted to Nigeria’s unique biometric identity infrastructure. Age restriction to 18 years and transaction cap on new devices shift towards preventive control. Overall, the reforms aim to strengthen trust in digital financial services by reducing vulnerabilities at the user authentication and device level.

7. NDPC BEGINS INVESTIGATION INTO ALLEGED DATA BREACH AT CAC

The Nigeria Data Protection Commission announced that it has launched an investigation into a suspected breach at the Corporate Affairs Commission. According to NDPC, the investigation is part of efforts to maintain confidence in Nigeria’s Digital Economy. This means that companies must now implement stronger cybersecurity controls and maintain audit ready documentation.

1. KENYA LICENCES 32 MORE DIGITAL LENDERS.

The Central Bank of Kenya has expanded its licensed digital credit providers to 227 after approving 32 new firms in April 2026.. The move reinforces that only licensed lenders may operate legally, with the CBK warning the public against unlicensed apps that often charge exorbitant rates and use abusive collection tactics. For pan-African fintechs, the Kenya model shows regulators’ seriousness: heavy fines and warnings await any digital lender not on the official list.

2. CABINET SUBMITS THE CONDUCT OF FINANCIAL INSTITUTIONS (COFI) BILL TO THE PARLIAMENT

South Africa is consolidating its conduct regulation through the COFI Bill, reinforcing the Twin Peaks model by centralising market conduct oversight while enabling innovation. The Bill also embeds transformation and consumer protection objectives notably through mandatory alignment with the Financial Sector Code. It introduces a more differentiated approach to licensing which aims to facilitate the entry of new players including Financial Technology (fintech) firms. The Bill aims to enhance transparency, accountability and stability in the financial sector.

3. THE BANK OF GHANA COLLABORATES WITH SEC AND FIC TO REGISTER AND LICENCE VASPS IN GHANA

Ghana’s proposed VASP licensing regime reflects a shift from crypto restriction to supervised participation. The coordinated role of the Bank of Ghana, Securities and Exchange Commission and Financial Intelligence Centre indicates a multi agency oversight model covering securities and financial crime risks. Strategically, the framework may improve Ghana’s position as a more structured digital asset market within Afric

1. U.K Bank Rescue Law Gets U.S Green Light

The Bank of England has introduced a new bail-in mechanism using provisional rights (PROPPs) allowing bondholders to receive temporary claims before final equity allocation in a bank rescue. In parallel, US regulators (SEC) issued a “no-action” letter confirming they won’t block UK banks from using PROPPs in a cross-border resolution. In short, bondholders of a failing UK bank would first receive temporary claims (not outright equity), with final allocations made after regulators calculate losses. The US assurance removes a legal roadblock: banks can now plan foreign bail-ins faster (without worrying that US investors will sue over unregistered securities). The change improves flexibility and speed in resolving failing banks while regulators determine accurate creditor pay-outs.

2. FINCEN PROPOSES OUTCOME-FOCUSED AML RULES.

The Financial Crimes Enforcement Network has proposed a major overhaul of AML/CFT rules under the Bank Secrecy Act, shifting focus from volume-based compliance to effectiveness in combating illicit finance. The key shift is banks must measure success by effectiveness at stopping crime, not by volume of reports.

FinCEN explicitly stated it is “restoring common sense” refocusing on keeping “bad actors out”. In practice. US financial Institutions expect future exams to demand proof that AML controls work in reality. Large global banks should review policies now, emphasize proactive risk targeting and continuous monitoring over rote SAR/CTR filing. This proposal (mandated by the AML Act 2020) signals a global trend: regulators everywhere will ask for demonstrable impact, not paperwork.

3. UK OFSI FINES APPLE £390,000 INLANDMARK SETTLEMENT CASE

The UK’s Office of Financial Sanctions Implementation (OFSI) fined Apple Distribution International (Ireland) £390,000 for breaching Russia sanctions. In 2022, ADI paid a Russian app developer (linked to sanctioned Sberbank) using a UK bank account. Although Apple did not intend a breach, OFSI held the subsidiary liable for screening failures. This was OFSl’s first case via its new settlement process. The lesson is even unintentional sanctions breaks (via global banks) can incur penalties. Multinational companies must ensure all subsidiaries (and their payment routes) have robust sanctions screening.

1. PAKISTAN ENDS 2018 BAN, ALLOWS BANKS TO SERVICE LICENSED CRYPTO PROVIDERS Pakistan has moved from banning crypto banking access to regulating it through licensed market participation. Banks can now serve approved crypto firms, but cannot hold, trade or invest in crypto themselves. This reduces systematic banking risk while enabling legal fiat access for millions of users. With about 40 million users, Pakistan is formalizing a previously shadow retail crypto market. If regulation is credible, Pakistan could emerge as a major emerging market crypto hub.
2. RIPPLE TARGETS AFRICA GROWTH AS CRYPTO USAGE JUMPS 52% Ripple’s recent report highlights that Sub-Saharan Africa saw >$205 billion in crypto flows in the past year, a 52% jump year-over-year. Nigeria alone ranks among the world’s top adopters. Amid this growth, Ripple is expanding payments and stablecoin services on the continent. The company points out that as more African countries clarify crypto regulations, demand for crypto remittances, payments, and tokenized assets is taking off. For African regulators and fintechs, the takeaway is clear: crypto is no longer fringe in Africa, it’s rapidly scaling for real use cases (remit/finance) and will attract further institutional investment.

1. Uber Raises Delivery Hero in $318M Deal
2. Linx Security led by global software investor Insight Partners, with continued participation from existing backers Cyberstarts and Index Ventures has raised $50m in Series B funding to tackle identity risks.
3. Depthfirst, an Al Security Lab led by Meritech Capital with participation with other Ventures and Funds has raised $80m in Series B funding round.
4. MTN Nigeria to sell a 60 percent stake in MOMO PSB and Y’ello Digital Financial Services to MTN Group, its South African parent company for 95.5 Billion Naira.

1. Competition and Authority of Kenya approves Moniepoint Acquisition of 78% stake in Sumac Microfinance Bank Limited.
2. Australian Payment Provider Cuscal Limited acquires Paymark Limited for $21 million.
3. SirMapy and Co. Decentralised Autonomous Organisation has acquired Nigeria Crypto Startup, Bread Africa in an undisclosed all Cash six figure deal.
4. Zenith Bank Pie acquires 100 percent shareholding of Paramount Bank in Kenya for an undisclosed amount.

We hope you found our April Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our March Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

March 2026 Regulatory Roundup

Welcome to our March Regulatory Roundup from Regcompass Consults.

In this Regulatory Update, we bring you the very latest regulatory news and insights across Nigeria, Africa, and beyond.

Beyond reporting developments, we interpret what these changes mean for regulated institutions, fintechs, and market entrants, highlighting emerging risks, compliance obligations, and strategic opportunities.

IN THIS EDITION

News In Nigeria

1. House of Representatives Advances Hearing on Fintech Regulatory Commission Bill
2. Nigerian Banks Meet CBN Recapitalisation Requirements
3. CBN Mandates Automated AML/CFT/CPF Systems for Financial Institutions
4. CBN Introduces New Security Controls for Instant Payments
5. CBN Tightens BVN Compliance Across Financial Services
6. Wise Secures Regulatory Approval to Enter Nigeria

Across Africa

1. Kenya and Rwanda Sign Mutual Recognition Agreement for Payment Licences
2. Kenya Proposes Artificial Intelligence (AI) Bill as African Governments Use Data Protection Laws to Govern AI
3. Inclusive FinTech Forum Convenes in Kigali with Regulatory Fragmentation as Key Barrier

Across the World

1. Canada Completes First Tokenised Bond Issuance on Distributed Ledger Technology (DLT) Under Project Samara
2. Revolut Receives Full Prudential Regulation Authority (PRA) Approval to Launch Bank in the UK
3. UK Government Advances Plans to Abolish the Payment Systems Regulator

Crypto Scoop

1. US Senate Negotiates Stablecoin Yield Compromise to Advance Digital Asset Market Clarity Act
2. KAST Raises $80M to Scale Stablecoin Neobank Globally Including Naira Payouts

Deals and Raises

Mergers and Acquisitions

House of Representatives Advances Public Hearing on Proposed Fintech Regulatory Commission Bill

A public hearing on 02 March 2026 tested industry appetite for a Nigerian Fintech Regulatory Commission (NFRC) that would consolidate licensing and supervision currently split across the CBN, the Securities and Exchange Commission (SEC), the Nigeria Data Protection Commission (NDPC), and the Federal Competition and Consumer Protection Commission (FCCPC) into one statutory body. Telecom operators backed the bill while fintechs, including OPay, raised concerns about duplication and rising compliance costs. If passed, this bill will fundamentally reshape how Nigeria’s 430+ fintech operators are licensed and at what cost, making it one of the most consequential legislative proposals in the sector this year.

Nigerian Banks Meet CBN Recapitalisation Requirements

Thirty of Nigeria’s thirty-five banks met the Central Bank of Nigeria’s (CBN) new minimum capital thresholds ahead of the 31 March deadline, with Union Bank and Unity Bank satisfying the requirement through a CBN-approved merger. The exercise mobilised over ₦4.05 trillion in fresh capital, with 28% sourced from foreign investors, making it Nigeria’s most significant banking reform since 2004. Banks that missed the deadline face licence revocation, and the sector’s strong foreign capital uptake signals that Nigeria’s banking industry is open and investible which creates compliance, audit, and restructuring implications for both banks and their counterparties.

CBN Mandates Automated AML/CFT/CPF Systems for Financial Institutions

The Central Bank of Nigeria (CBN) has issued baseline standards requiring financial institutions to implement automated AML/CFT/CPF systems. These systems must support real-time transaction monitoring, detect suspicious activity, and enable regulatory reporting. With implementation timelines of 18–24 months, institutions must transition from manual processes to technology-driven compliance frameworks. This raises the operational bar and creates immediate demand for system upgrades, regulatory advisory, and implementation support.

CBN Introduces New Security Controls for Instant Payments

The Central Bank of Nigeria (CBN) has introduced new enhanced authentication requirement security measures for instant payment transactions, targeting fraud prevention and customer protection across digital channels. The directive strengthens risk controls within Nigeria’s instant payments ecosystem, which processes transactions in real time across banks and fintech platforms. Financial institutions will need to update their systems to align with the new requirements and reduce exposure to fraud as instant payments continue to scale.

CBN Tightens BVN Compliance Across Financial Services

The CBN reinforced mandatory Bank Verification Number (BVN) linkage across the entire customer lifecycle and warned against fraudulent collection practices that use impersonation and fraudulent job offers to harvest identity data. BVN collection remains restricted to approved financial institutions and authorised channels only. This directive reinforces BVN as the cornerstone of Nigeria’s Know Your Customer (KYC) framework. Institutions that have not built BVN verification into every stage of the customer lifecycle now carry both a compliance gap and a direct fraud exposure.

Wise Secures Regulatory Approval to Enter Nigeria

Wise, the UK remittance fintech, received regulatory approval to launch its services in Nigeria, announced within a UK government communiqué following the UK-Nigeria Enhanced Trade and Investment Partnership dialogue on March 16, 2026. While Nigerians have accessed Wise indirectly through cross-border corridors and third-party integrations, full local presence changes the competitive dynamic entirely. For Nigerian and Africa-focused remittance operators, this signals that the market’s most attractive corridors are attracting the world’s best.

Kenya and Rwanda Sign Mutual Recognition Agreement for Payment Licences

The Central Bank of Kenya (CBK) and the National Bank of Rwanda (NBR) signed a framework allowing payment fintechs licensed in one country to operate in the other without a separate application, forming part of the East African Community’s (EAC) cross-border payments masterplan. This development directly reduces expansion costs and timelines for fintechs operating across both markets. For pan-African operators, this is a live blueprint for regulatory harmonisation and a signal that East Africa is setting the pace on licence portability across the continent.

Kenya Proposes Artificial Intelligence (AI) Bill as African Governments Use Data Protection Laws to Govern AI

Kenya’s Artificial Intelligence (AI) Bill was formally introduced in the Senate on 19 February 2026 and is now advancing through the legislative process, proposing registration requirements for certain AI systems, transparency standards, and mandatory risk management frameworks. A March 2026 report by the Future of Privacy Forum (FPF) found that across seven African countries, data protection laws are increasingly functioning as the primary instrument of AI governance, as standalone AI legislation catches up. For financial institutions, AI governance is rapidly becoming a core compliance function, particularly in credit scoring, fraud detection, and onboarding processes.

Inclusive FinTech Forum Convenes in Kigali with Regulatory Fragmentation as Key Barrier

The third Inclusive FinTech Forum drew over 3,000 delegates to Kigali from 10 to 12 March, with central bankers, operators, and investors converging on digital currency corridors, artificial intelligence (AI) powered financial inclusion, and open finance frameworks.  It fragmented licensing regimes as the primary barrier to fintech scale in Africa and regulatory harmonisation and cross-border frameworks emerged as central themes. This reinforces the strategic importance of regulatory advisory in enabling expansion across multiple African markets. Rwanda’s rise to 3rd in Africa and 67th globally on the Global Financial Centres Index (GFCI) reflects the dividend of deliberate, enabling regulation.

Canada Completes First Tokenised Bond Issuance on Distributed Ledger Technology (DLT) Under Project Samara

A consortium of Canadian institutions, including the Bank of Canada (BoC), Royal Bank of Canada (RBC) Capital Markets, TD Bank Group, and Export Development Canada (EDC), completed the country’s first tokenised bond issuance on a permissioned distributed ledger in March 2026 under Project Samara. The exercise involved a single CAD 100 million bond with a maturity of under three months, settled in central bank money, with the Bank of Canada confirming that operational efficiency, data integrity, and workflows were all improved by the process. For regulated capital markets participants globally, this is a significant proof of concept: tokenised bond settlement on distributed ledger technology is no longer theoretical, and the race to build the compliance infrastructure that supports it has begun.

Revolut Receives Full Prudential Regulation Authority (PRA) Approval to Launch Bank in the UK

Revolut Bank UK received regulatory approval from the Prudential Regulation Authority (PRA) in March 2026 to exit the mobilisation phase and launch as a fully licensed bank in the United Kingdom (UK), ending a five-year licensing journey that began in 2021. The lifted restrictions pave the way for Revolut to expand into lending and a wider range of banking products across the UK. For regulated fintechs on the African continent eyeing UK expansion, this milestone is instructive: the PRA mobilisation process is long and demanding, but it now has a proven path to full authorisation.

UK Government Advances Plans to Abolish the Payment Systems Regulator

The United Kingdom (UK) government is progressing legislation to fold the Payment Systems Regulator (PSR) into the Financial Conduct Authority (FCA), with full consolidation expected by end of 2026 as a deliberate pro-growth measure. TWhile this simplifies regulatory structure, it is expected to increase enforcement intensity due to the FCA’s broader mandate. Firms operating or expanding into the UK must prepare for stricter conduct and compliance expectations.

US Senate Negotiates Stablecoin Yield Compromise to Advance Digital Asset Market Clarity Act

US senators continued negotiations in March 2026 to advance the Digital Asset Market Clarity Act, stalled over a dispute between banks and crypto platforms about whether stablecoin holders should be permitted to earn rewards on their holdings. The banking industry argues that stablecoin rewards function like deposit interest and risk triggering deposit flight from traditional institutions, while the crypto sector argues restrictions would stifle innovation. The emerging compromise centres on permitting transaction-based rewards rather than balance-based rewards. This has direct implications for African fintechs relying on USD stablecoins, as it will shape product design, revenue models, and regulatory exposure.

KAST Raises $80M to Scale Stablecoin Neobank Globally Including Naira Payouts

KAST’s $80 million raise reflects growing institutional confidence in stablecoin-based financial infrastructure, particularly for cross-border payments. With support for multiple currencies including the naira, its expansion positions it as a direct competitor in emerging market payment ecosystems, increasing both innovation and regulatory scrutiny.

1. Ualá (Argentina neobank) secures $195M in equity financing led by Allianz X, reaching a $3.2B valuation for Latin American expansion.
2. Uzum (Uzbekistan digital bank) raises $130M+ led by sovereign entities of the Sultanate of Oman at a $2.3B pre-money valuation.
3. Stacks (UK agentic AI fintech) raises $23M Series A led by Lightspeed to automate operational finance workflows for businesses.
4. Orca Fraud (South African fraud detection startup) closes $2.35M seed round led by Norrsken22 with participation from Enza Capital and CV VC Africa.
5. Rowspace (United States (US) AI fintech for private equity) launches with $50M in total funding led by Sequoia and Emergence Capital.

1. Revolut acquires a European payments footprint as J. Safra Sarasin completes its €1.1B acquisition of Saxo Bank, approved by the Swiss Financial Market Supervisory Authority (FINMA) and Danish Financial Supervisory Authority (DFSA).
2. J. Safra Sarasin completes its €1.1B acquisition of Saxo Bank, approved by the Swiss Financial Market Supervisory Authority (FINMA) and the Danish Financial Supervisory Authority (DFSA).
3. Ramp acquires Swedish fintech Billhop to secure European payment licences and expand its corporate spend management platform into the European Union (EU).
4. Royal Bank of Canada (RBC) acquires Canadian mortgage fintech Pinch Financial to accelerate its digital mortgage roadmap across Canada.
5. Kenya Commercial Bank (KCB) Grouppursues acquisition of a stake in Pesapal, the regional payments platform licensed across five East African markets, with regulatory approval pending.

We hope you found our March Regulatory Roundup 2025 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our February Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

February 2026 Regulatory Roundup

February may be the shortest month of the year, but it delivered no less regulatory developments. From enforcement actions to policy signals, this roundup highlights the regulatory developments businesses and compliance teams should pay attention to.

Nigeria

1. CBN Publishes First Comprehensive Fintech Report
2. OFAC Updates Sanctions List; Implications for Nigerian reporting entities
3. CBN Lowers Monetary Policy Rate to 26.5 Percent
4. Nigeria’s Data Protection Commission Probe Into Temu Continues Amid Ongoing Compliance Concerns
5. NGX Imposes over ₦540M in Compliance Fines on Listed Companies
6. FRC Mandates Audit Firms and Assurance Service Providers to Register by 1 April 2026
7. FRC Updates Sustainability Reporting Roadmap

Africa

1. Kenya fines GTBank Kenya regarding Corporate Lending Misconduct.
2. Kenya’s Central Bank Signals a Regulatory Reset for the Financial Sector.

Global News

1. FATF expands Grey List, Tightening Global AML Scrutiny.
2. FinCEN Relaxes Beneficial Ownership Reporting Requirements.
3. UK Payments Regulator Fines Bank of Ireland UK over Consumer Protection Delays.

Crypto Scoop

1. Crypto Regulation in Focus as US Lawmakers Move on the Clarity Act.
2. Hong Kong Moves to License Stablecoin Issuers.
3. EU Backs the Digital Euro in Major Policy Signal.

1. CBN Publishes First Comprehensive Fintech Report

The Central Bank of Nigeria has issued its first comprehensive fintech report, highlighting growth in real-time payments and broader industry participation, while flagging persistent gaps in licensing and risk management. This signals a shift from informal engagement to structured regulatory oversight, requiring fintech operators to strengthen governance frameworks and compliance planning.

2. OFAC Updates Sanctions List; Implications for Nigerian reporting entities

OFAC has updated its sanctions list, designating eight Nigerians and three entities linked to cybercrime and terrorist financing, triggering asset freezes and financial restrictions. This reinforces the need for all regulated entities; to conduct regular sanctions screening, ensure counterparties remain compliant, and promptly escalate any positive matches to mitigate regulatory infraction and reputational risk.

3. CBN Lowers Monetary Policy Rate to 26.5 Percent

With inflation showing signs of easing, the Central Bank of Nigeria has lowered its benchmark interest rate to 26.5% at its 304th Monetary Policy Committee meeting on 23–24 February 2026. The move will impact borrowing costs, liquidity management, and risk strategies, prompting banks to adjust capital planning, lending policies, and internal risk monitoring.

4. Nigeria’s Data Protection Commission Probe Into Temu Continues Amid Ongoing Compliance Concerns

Nigeria’s NDPC has opened a formal investigation into Temu, citing potential breaches of data minimisation and processing obligations. The action highlights the regulator’s focus on personal data protection and signals to all businesses processing personal data in Nigeria that data protection is mandatory, with compliance may attract regulatory scrutiny.

5. NGX Imposes over ₦540M in Compliance Fines on Listed Companies

NGX Regulation Limited has fined 34 listed companies a total of over ₦540 million for missing financial filing deadlines. The penalties signal that the Exchange treats disclosure timelines as key governance obligations, not mere administrative tasks. Listed companies must strengthen internal reporting and board oversight to stay compliant.

6. FRC Mandates Audit Firms and Assurance Service Providers to Register by 1 April 2026

The Financial Reporting Council (FRC) has directed the closure of unregistered audit and assurance firms effective 1 April, 2026, to protect the integrity of statutory audit opinions. The move signals stricter oversight of the profession and requires firms to complete registration promptly. The effectiveness of this measure will depend on intentional enforcement by the FRC.

7. FRC Updates Sustainability Reporting Roadmap

The FRC has released the amended Roadmap for the Adoption of IFRS Sustainability Disclosure Standards (2026) and Sustainability Reporting Guideline 1 (SRG 1) 2026, providing clearer timelines, scope, and implementation guidance for IFRS S1 and IFRS S2 adoption. The update addresses previous market uncertainties, including reporting timelines, assurance requirements, and eligible professionals for sustainability reporting. The move signals a transition to more structured and enforceable sustainability disclosure requirements, requiring companies to assess readiness, strengthen governance frameworks, and align ESG data and reporting processes with evolving regulatory expectations.

1. Kenya fines GTBank Kenya regarding Corporate Lending Misconduct.

The Competition Authority of Kenya has fined Guaranty Trust Bank Kenya KES 33.18 million ($257,000) over its loan restructuring practices, signalling increased scrutiny of fairness and transparency in corporate lending. The move expands competition oversight into areas traditionally regulated by the Central Bank, raising the need for banks to reassess lending practices through both regulatory and competition law lenses. Regulators in Kenya are placing greater focus on fairness and transparency in corporate lending, treating loan restructurings as competition matters. The recent fine of Guaranty Trust Bank Kenya, KES 33.18 million ($257,000) illustrates how the Competition Authority is expanding into areas traditionally overseen by the Central Bank. This raises the question – is this a necessary regulatory evolution or a potential overreach of authority?

2. Kenya’s Central Bank Signals a Regulatory Reset for the Financial Sector

The Central Bank of Kenya has invited consultants to review the Central Bank Act and Banking Act, signalling a potential regulatory reset for the financial sector. The exercise aims to close legal gaps and clarify the CBK’s authority over non-traditional financial institutions as Kenya’s fintech and digital finance ecosystem expands.

1. FATF expands Grey List, Tightening Global AML Scrutiny.

The Financial Action Task Force has placed Kuwait and Papua New Guinea under monitoring due to gaps in its anti-money laundering and counter-terrorism financing frameworks. While grey-listing is not a sanction, it signals higher risk for international transactions, prompting regulated entities to revisit country risk assessments, and closely monitor cross-border activities.

2. FinCEN Relaxes Beneficial Ownership Reporting Requirements.

FinCEN has relaxed the requirement for covered financial institutions to re-verify beneficial owners each time a legal entity opens a new account. Verification is now required only at account onboarding, when facts reasonably call into question previously obtained ownership information, or based on the institution’s risk-based ongoing due diligence procedures. This change streamlines account openings, reduces redundant documentation, and allows institutions to focus resources on higher-risk relationships while maintaining effective AML oversight.

3. UK Payments Regulator Fines Bank of Ireland UK over Consumer Protection Delays.

The Payment Systems Regulator (PSR) has fined Bank of Ireland UK £3.78 million for failing to implement Confirmation of Payee (CoP) since the October 31, 2023 deadline. CoP enables customers to verify that the account they are paying matches the intended recipient, helping prevent fraud and misdirected payments.

1. Crypto Regulation in Focus as US Lawmakers Move on the Clarity Act.

US policymakers are pushing for passage of the Clarity Act, but debate over whether exchanges can offer interest or rewards on stablecoins is slowing progress. While such rewards could pull deposits from traditional institutions, undue restriction on crypto firms would stifle innovation.

2. Hong Kong Moves to License Stablecoin Issuers.

The Hong Kong Monetary Authority is set to issue its first stablecoin licences in March, marking a transition from sandbox experimentation to fully regulated market activity. Firms looking to participate will be expected to demonstrate robust governance and compliance frameworks.

3. EU Backs the Digital Euro in Major Policy Signal.

The European Parliament has given initial approval for a central bank digital currency designed to function both online and offline, with built-in safeguards for privacy, financial stability, and financial inclusion. For financial institutions and virtual asset service providers, this signals the need to begin planning for potential shifts in liquidity management, wallet infrastructure, and compliance frameworks ahead of a possible 2029 launch.

1. BlueCore Gas InfraCo Completes Acquisition of Axxela, Strengthening Nigeria’s Gas Infrastructure
2. PNC Financial Receives Approval to Complete Acquisition of FirstBank Holding Company
3. SoftBank Acquires DigitalBridge to Strengthen Global Digital Infrastructure Investment
4. Mollie Acquires GoCardless in Major European Payments Consolidation
5. GSK Acquires 35Pharma for $950 Million to Boost Drug Development Pipeline

1. MTN Group Moves to Fully Acquire IHS Towers in a $6.2 Billion Deal
2. OpenAI Closes Record-Breaking $110 Billion Funding Round
3. World Labs Secures $1 Billion in Series Funding for 3D AI Innovation
4. Breadfast Secures $50 Million Pre-Series C Funding in Egypt

We hope you found our February Regulatory Roundup 2026 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email, and we would be available to help.

Also, share your thoughts in the comments below, and let’s continue the conversation!

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

Welcome to the December regulatory round up. We provide you with the latest regulatory news and insights across Nigeria, Africa and beyond. Let’s dive into a thoughtful and comprehensive update on recent developments.

News in Nigeria

• FCCPC Engages GT Bank, MTN and Air Peace over Possible Violations.
• CBN imposes ₦1 billion fines on Moniepoint and OPay as Nigeria strengthens fintech regulations.
• NDIC Calls on Nigerian Financial Institutions to Adopt AI for Fraud Detection.
• SEC Introduces New Registration Requirement for Capital Market Operators.
• FG Introduces the Tax Reform Bill.
• NFIU Releases New Suspicious Transaction Reporting Guidance.
• CBN Imposes Daily PoS Withdrawal Limit.
• NITDA Warns Nigerians of Malware Targeting Banking Information.
• Nigeria plans to launch a national eCommerce platform.

Across Africa

• Kenya parliament proposes an 8-year bank capital deadline.
• Kenya’s MSEA hacked, government information allegedly sold on dark web.
• Rwanda has launched a new five-year strategy for advancing its fintech sector.
• Kenyan banks agree to lower interest rates under pressure from the Central Bank.

Across the World

• European Central Bank Advances Plans for Potential Digital Euro in Latest Progress Report.
• The Federal Deposit Insurance Corporation Advocates for Greater Transparency in Bank-FinTech Collaborations.
• World Bank disburses $1.5 billion loan to Nigeria following subsidy removal and tax reforms.

Crypto Scoop

• MiCA-Compliant Stablecoins Dominate European Market Amid Expanding Regulations.
• MiCA Poses Uncertainty for USDT’s Future in Europe with Potential Ban on the Horizon
• Morocco Prepares Cryptocurrency Regulation as Central Bank Explores Digital Currency

Mergers and Acquisitions

• TotalEnergies is set to acquire Germany’s VSB Group.
• Access Bank expands its footprint with the full acquisition of South Africa’s Bidvest Bank.
• Host Africa announces plans to acquire Nigerian web hosting company GO54.

Deals and Raises

• Nigerian fintech Billboxx secures $1.6 million in pre-seed funding from Norrsken.
• Eyone raises $1 million to scale digital health services in West Africa.
• Tyme secures $250 million in Series D funding
• Juicyway, a Nigerian startup, secures $3 million to address FX shortages for businesses.
• FCMB Secures N147.5bn Through Public Offer, Achieves CBN’s Revised Capital Requirement.

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News in Nigeria

FCCPC Engages GT Bank, MTN and Air Peace over Possible Violations

The FCCPC is investigating complaints against banks, telecoms, and aviation companies over poor service, exploitative practices, and consumer rights violations. For fintechs, this signals heightened scrutiny of customer experience, transparency, and service reliability. Cases like GTBank’s network issues and MTN Nigeria’s data service probe highlight the need for resilient tech infrastructure and operational consistency. Fintechs must prioritize compliance and service quality to avoid penalties and reputational risks.

CBN imposes ₦1 billion fines on Moniepoint and OPay as Nigeria strengthens fintech regulations.

The Central Bank of Nigeria (CBN) imposed ₦1 billion fines on Moniepoint and OPay during Q2 2024 following compliance audits conducted earlier in the year. These penalties stem from routine regulatory reviews, reflecting the CBN’s heightened scrutiny of the growing fintech sector. With OPay boasting 40 million users and Moniepoint processing 5.2 billion transactions in 2023, their rapid growth has naturally attracted increased regulatory attention. This underscores the critical need for proactive measures in regulatory compliance, robust internal controls, and a thorough understanding of licensing requirements to avoid operational disruptions and financial penalties.

NDIC Calls on Nigerian Financial Institutions to Adopt AI for Fraud Detection.

The Nigeria Deposit Insurance Corporation (NDIC) has emphasized the importance of integrating Artificial Intelligence (AI) technologies to combat rising fraud within the financial sector. These AI tools can help fintech companies by processing large datasets, identifying irregular transactions, and minimizing false positives, ultimately improving fraud detection and operational efficiency. With a significant increase in fraud cases, fintechs will likely face higher regulatory expectations, which could include the adoption of AI-based monitoring solutions as part of licensing requirements.

SEC Introduces New Registration Requirement for Capital Market Operators

Starting in 2025, the SEC will require capital market operators (CMOs) to submit trade group receipts for annual registration renewal. This underscores the importance of aligning with industry standards and maintaining compliance. While this measure is expected to boost investor confidence, it also introduces additional administrative responsibilities.

FG Introduces the Tax Reform Bill

The Nigerian government has proposed a series of Tax Reform Bills that consolidates several tax laws into one framework. Key changes include a revised personal income tax structure with lower rates for lower income levels, the introduction of rent relief in place of Consolidated Relief Allowance, and exemption of compensation or damages under ₦50 million from chargeable gains.

NFIU Releases New Suspicious Transaction Reporting Guidance

The Nigerian Financial Intelligence Unit (NFIU) has issued updated guidelines on suspicious transaction reporting (STR), emphasizing proactive compliance and accuracy in identifying illicit activities. Financial institutions must now review flagged transactions within 72 hours and file STRs within 24 hours of completing the internal review, rather than upon forming a suspicion. Non-reported transactions must still be documented for regulatory reviews, while transaction monitoring systems (TMS) must undergo regular updates to ensure efficiency. The guidelines provide clear criteria for identifying suspicious activities, including high-risk offenses, red flag indicators, and risk-based approaches, promoting precision and reducing vulnerabilities to financial crimes.

CBN Imposes Daily PoS Withdrawal Limit

The Central Bank of Nigeria (CBN) has introduced a ₦100,000 daily withdrawal limit per customer for Point-of-Sale (PoS) transactions, aimed at enhancing financial transparency, reducing illicit financial flows, and promoting cash transaction traceability. While supporting the shift toward a cashless economy, the policy also addresses the misuse of agency banking outfits for financial crimes. Immediate implementation poses compliance challenges, particularly in areas with weak digital infrastructure. To mitigate this, the CBN is urging banks to improve ATM reliability as a cash withdrawal alternative.

NITDA Warns Nigerians of Malware Targeting Banking Information.

NITDA’s Computer Emergency Readiness and Response Team has issued a warning about a new version of the Grandoreiro malware, which poses a major threat by stealing banking credentials and personal data through advanced techniques like screen overlay attacks and remote device control. The malware spreads via phishing emails and fake websites, tricking victims into downloading malicious software disguised as legitimate updates or documents. Once installed, it bypasses security controls, enabling unauthorized access to users’ devices.

Nigeria plans to launch a national eCommerce platform.

The National Council for Arts and Culture (NCAC) and the National Information Technology Development Agency (NITDA) have partnered to launch BuyNigeria.ng, an eCommerce platform aimed at promoting Nigerian artisans and traders globally. The initiative, starting in cities like Lagos, Kano, Aba, and Abuja, seeks to combine Nigeria’s cultural heritage with tech innovation to boost digital visibility for local businesses.

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Across Africa

Kenya parliament proposes an 8-year bank capital deadline.

Kenya’s Central Bank has proposed increasing the minimum capital for commercial banks from KSh 1 billion ($7.7 million) to KSh 10 billion ($77.8 million) to boost resilience against risks like cyber fraud and economic shocks. While the move is necessary, smaller banks raised concerns over the three-year compliance deadline, leading to an extension of up to eight years.

Kenya’s MSEA hacked, government information allegedly sold on dark web.

Kenya’s Micro and Small Enterprise Authority (MSEA) experienced a major data breach, with hackers exposing sensitive government and organizational data on the dark web. The leaked information, including employee records, financial statements, and business registration details, is reportedly being sold for $100,000.

Rwanda has launched a new five-year strategy for advancing its fintech sector.

Rwanda has launched a five-year Fintech Strategy (2024-2029) to become a leading financial services hub in Africa. The plan aims to grow the fintech sector to 300 companies, create 7,500 jobs, and achieve 80% fintech adoption by 2029.

Kenyan banks agree to lower interest rates under pressure from the Central Bank.

Kenyan commercial banks will begin reducing lending rates in December 2024 following pressure from the Central Bank of Kenya (CBK). This follows a 75 basis point reduction in the CBK’s benchmark rate to 11.75%, the lowest since the COVID-19 pandemic. Despite three consecutive rate cuts, lending rates have increased, averaging 17.15% in October.

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Across the World

European Central Bank Advances Plans for Potential Digital Euro in Latest Progress Report

The European Central Bank (ECB) has made significant strides in preparing for a digital euro, updating its rulebook to standardize payments and establishing work streams on user experience and risk management. User research, including surveys, will guide the design, with results expected by mid-2025. The ECB is also developing methodologies for holding limits, balancing user convenience and monetary policy, with a decision on issuance pending legislative approval and further analysis by 2025.

The Federal Deposit Insurance Corporation Advocates for Greater Transparency in Bank-FinTech Collaborations

The Federal Deposit Insurance Corporation has extended the commentary period for its proposed rule on ledger transparency and data standardization, aimed at improving record-keeping for bank deposits held by third-party non-bank entities. Prompted by the Synapse bankruptcy, the rule would require FDIC-insured banks to track and reconcile custodial accounts daily and identify individual fund owners. While some companies, like Paxos, worry about operational burdens, the FDIC stresses the need for enhanced consumer protection and clarity in bank/FinTech partnerships.

World Bank disburses $1.5 billion loan to Nigeria following subsidy removal and tax reforms.

The World Bank has disbursed $1.5 billion to Nigeria under the RESET initiative, following reforms like fuel subsidy removal and tax policy updates. The loan is split into two $750 million tranches, with the first released in July 2024. Key reforms include full fuel market deregulation and the introduction of the Nigeria Tax Bill 2024. This loan is part of a $6.95 billion package secured by Nigeria under President Tinubu’s administration, with further loans expected in 2025 for education and social programs.

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Crypto Scoop

MiCA-Compliant Stablecoins Dominate European Market Amid Expanding Regulations

The European crypto market is transforming under the Markets in Crypto-Assets (MiCA) regulation, fully implemented by December 2024, which has driven the dominance of MiCA-compliant euro-backed stablecoins like Circle’s EURC, Societe Generale’s EURCV, and Banking Circle’s EURI, holding 91% of the market. Exchanges like Binance and Coinbase play key roles in promoting MiCA-compliant stablecoins, with Binance listing EURI and Coinbase adjusting its services to align with MiCA standards. These developments position regulated stablecoins as vital to Europe’s digital economy.

MiCA Poses Uncertainty for USDT’s Future in Europe with Potential Ban on the Horizon

Tether’s USDT faces scrutiny in the EU as MiCA regulations near full implementation on December 30, 2024. Coinbase has preemptively delisted USDT due to compliance concerns, while Binance and Crypto.com continue to trade it, awaiting regulatory clarity. MiCA’s stringent requirements, including e-money licenses and independent reserves, leave USDT’s future uncertain, potentially impacting market liquidity. European traders may shift to alternatives like Circle’s USDC, but this transition could introduce frictions, underscoring the need for regulatory alignment during MiCA’s transitional phase.

Morocco Prepares Cryptocurrency Regulation as Central Bank Explores Digital Currency

Morocco is moving forward with plans to regulate cryptocurrency use through a draft law, despite having banned cryptocurrencies since 2017. Cryptocurrencies continue to be used in underground markets, prompting the government to introduce formal oversight. Alongside regulating cryptocurrencies, the central bank, BAM, is also exploring the possibility of launching a Central Bank Digital Currency (CBDC) to offer a secure, regulated alternative. The CBDC could promote financial inclusion and support public policy goals, positioning Morocco as a regional leader in digital financial technologies while addressing risks associated with unregulated crypto use.

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Mergers and Acquisitions

• TotalEnergies is set to acquire Germany’s VSB Group.
• Access Bank expands its footprint with the full acquisition of South Africa’s Bidvest Bank.
• Host Africa announces plans to acquire Nigerian web hosting company GO54.

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Deals and Raises

• Nigerian fintech Billboxx secures $1.6 million in pre-seed funding from Norrsken.
• Eyone raises $1 million to scale digital health services in West Africa.
• Tyme secures $250 million in Series D funding.
• Juicyway, a Nigerian startup, secures $3 million to address FX shortages for businesses.
• FCMB Secures N147.5bn Through Public Offer, Achieves CBN’s Revised Capital Requirement.

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Join the Conversation:

Have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation! Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.

Welcome to the November regulatory round up. We provide you with the latest regulatory news and insights across Nigeria, Africa and beyond. Let’s dive into a thoughtful and comprehensive update on recent developments.

Regulatory Update in Nigeria

• Momo PSB is Set to Rival Opay and Paystack in the Market.
• Commercial, Merchants and Non-Interest banks (CMNIBs) to Accept and Trade ITFCs Under New CBN Guidelines.
• CBN Reports Increased Demand for Long-Term Securities Amid Rising Inflation.
• Opay has Launched the Large Transaction Shield to Protect Users from Financial Fraud.
• CBN Launches Initiatives to Drive Financial Inclusion.
• Moniepoint Set to Disrupt Nigeria’s Financial Industry with Commercial Bank License.
• CBN to Crack Down on DMB’s for Cash Hoarding.
• Concerns Emerge Over Proposed Investment and Securities Bill of 2024.
• Nigerian Communications Commission to Introduce Maximum Tariff Plan Limit for Telecom Operators.
• Country-Wide Application of the National Lottery Act 2005 Declared Unconstitutional by the Supreme Court.
• CBN Increases Interest Rates to 27.50%.

Across Africa

• Mastercard has Entered into a 10-year partnership with Diamond Trust Bank.
• Ethiopia National Bank Mandates Adoption of QR Code Payment Standards for PSPS.
• Kenya’s Central Bank to Review Interest Rate in December.
• BNPLs to be Regulated by Kenya’s Central Bank in New Bill.
• Kenya Introduces New Tax Bill.
• Stronger IT Risk Management Requirements for South African FI’s as New Regulation Takes Effect.
• Zimbabwe Introduces Data Controller Licensing Requirement for Whatsapp Group Administrators.
• A WhatsApp-Powered Bank Rolls-out in South Africa.
• Egypt Plans to introduce Card tokenisation in 2025 to Enhance the Security of Digital Payments.

Across the World

• TikTok Canada to Shutdown Over National Security Concerns.
• UK Unveils Corporate Strict Liability Offence for Failing to Prevent Fraud.
• NatWest and Mastercard Introduce Mobile Virtual Card Payment Solution for Businesses.
• IOSCO Introduces Roadmap for Enhancing Online Safety for Retail Investors.
• Mastercard Aims to Make some big changes by 2030.
• Pomelo Launches a Secure tool for international Money Transfers.

• Faber Launches Third VC fund with $34m First Close, Aims for $64m
• Stanbic, Cardinalstone, 8 others Trade 55% of Equities in NGX..
• Raknida Secures a $100,000 Grant to Support its Expansion into the US Market.
• Ariika Raises a $3 million Series A Extension to Drive its Expansion Across the MENA Region.

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News in Nigeria

Commercial, Merchants and Non-Interest banks (CMNIBs) to Accept and Trade ITFCs Under New CBN Guidelines

The Central Bank of Nigeria has introduced the Foreign Currency Disclosure, Deposit, Repatriation, and Investment Scheme, 2024. This scheme encourages Nigerian citizens, both within and outside the country, to voluntarily disclose and repatriate internationally tradable foreign currencies. This initiative aims to enhance transparency in foreign currency holdings and foster economic stability while ensuring regulatory compliance.

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Opay has Launched the Large Transaction Shield to Protect Users from Financial Fraud

OPay has introduced the ‘Large Transaction Shield’ to tackle rising fraud risks in digital financial transactions. This feature allows users to set transaction limits between ₦100,000 and ₦300,000. Once the limit is reached, facial verification is required to approve the transaction, with an OTP as a backup if the facial recognition fails. This addresses the growing fraud risk  and gives customers more control over high-value transactions. With ₦42.6 billion lost to fraud in Nigeria in Q2 2024, this multi-layered security approach is crucial. By combining biometric authentication with customizable transaction limits, OPay sets a strong precedent for financial institutions to adopt similar measures.

CBN Launches Initiatives to Drive Financial Inclusion

The CBN has unveiled three key initiatives at the second edition of the International Financial Inclusion Conference: the Women Financial Inclusion Dashboard, the Women Entrepreneurs Finance Code, and the Roadmap for the financial inclusion of Forcibly Displaced Persons (FDPs). These initiatives are aimed at reducing financial exclusion among women, youth, and displaced individuals, with a focus on empowering women-owned MSMEs and enhancing economic independence for FDPs.

Moniepoint Set to Disrupt Nigeria’s Financial Industry with Commercial Bank License

Moniepoint, one of Nigeria’s leading fintech unicorns, is seeking a commercial banking license from the Central Bank of Nigeria (CBN),a strategic move that should inspire other fintechs. This could set a precedent for other fintechs riding on microfinance bank licences as their deposits and market spread continue to increase relative to their shareholder capital.Moniepoint’s expansion into loans, savings, and investments highlights how fintechs can drive growth by blending innovation with outreach. By leveraging technology and agent networks, it scales financial inclusion while reshaping the market with diverse, impactful solutions.

CBN to Crack Down on DMB’s for Cash Hoarding

Cash scarcity poses serious detrimental effects to the economy, particularly for Small and medium scale businesses, relying heavily on cash transactions. The Central Bank of Nigeria (CBN) has reminded deposit money banks (DMBs) to ensure responsible cash distribution. DMBs facilitating the flow of mint banknotes to cash hawkers or engaging in cash hoarding will face penalties, starting with a 10% fine on the value of seized cash. Banks are urged to implement internal controls and prioritize cash distribution via ATMs.

Concerns Emerge Over Proposed Investment and Securities Bill of 2024

The proposed Investment and Securities Bill of 2024 presented at the National Assembly has faced opposition from key stakeholders. The Central Bank of Nigeria (CBN) raised concerns about the SEC’s expanded powers, particularly over financial institutions under its jurisdiction, and objected to provisions allowing cash transactions for securities, citing anti-money laundering laws. Finance Minister Wale Edun also warned that the bill could limit the Ministry of Finance’s oversight role, particularly regarding market updates and SEC board appointments. Despite these concerns, SEC’s Director-General defended the bill, highlighting its potential to position Nigeria’s capital market globally. Other stakeholders like PENCOM and the Nigeria Deposit Insurance Corporation supported the bill, with the Senate Committee on Capital Markets promising to incorporate feedback before the final draft is presented.

Nigerian Communications Commission to Introduce Maximum Tariff Plan Limit for Telecom Operators

The Nigerian Communications Commission (NCC) has announced plans to introduce a new policy limiting telecom operators to seven tariff plans each, aiming to simplify the telecom market and improve transparency. This move follows concerns over consumer confusion caused by an overwhelming number of options, with some operators offering up to 145 data and 27 voice plans. The Director of the Consumer Affairs Bureau, explained that the initiative would help consumers make informed decisions by reducing complexity. The NCC will also launch awareness campaigns on data usage, encouraging consumers to monitor their consumption and adjust settings to manage data effectively. This effort aligns with the NCC’s goal of promoting consumer education and enhancing the telecom experience in Nigeria.

Country-Wide Application of the National Lottery Act 2005 Declared Unconstitutional by the Supreme Court

The Supreme Court has nullified the National Lottery Act 2005, ruling it unconstitutional as it exceeded the legislative powers of the National Assembly. The court held that lottery and games of chance fall outside the Exclusive Legislative List, granting states exclusive authority to regulate and control such matters. Companies who were previously regulated under the National Lottery Act of 2005 by the National Lottery Regulatory Commission (NLRC) operating outside the Federal Capital Territory (FCT), the immediate consequence of the Court’s ruling is the invalidation of their licenses issued by the NLRC. The judgment declared that the regulation of lottery businesses falls within the residual powers of state governments rather than the federal government, meaning that businesses licensed under the NLRC no longer hold valid authority to operate in states outside the FCT. This raises a critical issue for companies that had been relying on NLRC-issued licenses to conduct business in various states. In effect, these businesses must cease operations under the old federal framework and instead seek new licenses from the relevant state authorities in each jurisdiction where they operate.

CBN Increases Interest Rates to 27.50%

The Central Bank of Nigeria (CBN) raised the Monetary Policy Rate (MPR) by 25 basis points to 27.50% during its November 2024 Monetary Policy Committee meeting, citing persistent inflation, which stood at 33.87% in October. Governor Olayemi Cardoso emphasized that while headline inflation had shown signs of moderation, core inflation remained high due to structural factors like energy costs and food price pressures. This adjustment underscores the CBN’s focus on controlling inflationary pressures while navigating complex macroeconomic challenges.

CBN Reports Increased Demand for Long-Term Securities Amid Rising Inflation

The CBN’s Q2 2024 report highlights a shift toward longer-term government securities as investors hedge against rising inflation, which hit 34.19%. To attract investors, the CBN raised yields, with NTB stop rates averaging 18.47% (up from 11.97%) and FGN Bond marginal rates increasing to 20.37% (from 17.73%). Robust Open Market Operations (OMO) participation also saw allotments soar to N4.36 trillion with stop rates of 20.62%. These measures reflect the CBN’s inflation-focused monetary policy to stabilize markets and ensure competitive returns for investors.

MoMo PSB is Set to Rival OPay and Paystack in the Market

MTN Nigeria’s MoMo Payment Service Bank (PSB) is applying for Payment Service Solutions Provider (PSSP) and Payment Terminal Service Provider (PTSP) licenses, signaling a shift in telecom-led financial services. With these licenses, MoMo can process payments and manage terminal infrastructure, offering more versatile payment solutions for merchants and customers. This move strengthens competition with banks and fintechs, redefining PSBs by blending financial inclusion with advanced digital payments. Businesses must adapt to or leverage this evolving payment landscape.

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Across Africa

Cyber Attack at Bank of Uganda

The Cyber attack on Uganda’s central bank, in which hackers stole millions, offers critical lessons on cybersecurity for financial institutions. First, the breach highlights the need for enhanced security protocols, particularly in preventing unauthorized access through improved intrusion detection systems and encryption methods. Regular security audits, penetration testing, and employee training on cybersecurity are also crucial in preventing attacks, as human error or insider threats often play a significant role in such breaches. Banks should also be vigilant in managing third-party risks, ensuring vendors comply with the same stringent security measures. Additionally, transparent communication during a crisis, as seen with Uganda’s central bank, helps maintain trust with stakeholders and the public. By adopting a comprehensive cybersecurity strategy, banks can better safeguard their systems and avoid similar incidents.

Ethiopia National Bank Mandates Adoption of QR Code Payment Standards for PSPS

The Ethiopian digital payment landscape has witnessed significant development since the inception of the national digital payment strategy in 2021. In a bid to consolidate efforts made so far, the country’s National bank issued a circular mandating the adoption of its Interoperable QR code payment standards, released earlier in April, this year. The adoption of the standards, which seek to harmonise QR code payment systems in the country, ensures seamless and hitch-free mobile payment transactions for customers in the country, invariably representing an opportunity for the payment services industry, with projections estimating as much as a 300% increase in volume of digital payment transactions after successful implementation.

Kenya’s Central Bank to Review Interest Rate in December

The Monetary Policy Committee of the Kenyan central bank will convene for its rate-setting meeting on December 5. In its previous meeting in October, the bank reduced its benchmark lending rate from 12.75% to 12.00%, a decision intended to encourage more credit flow to the private sector.

BNPLs to be Regulated by Kenya’s Central Bank in New Bill

Regulators around the world have paid significant attention to the Buy Now Pay Later (BNPL) schemes, with countries especially in the EU making major legislative attempts at regulating the sector. Kenya legislators seemed to have taken a cue from this in its recent Business Laws (Amendment) Bill 2024. The bill essentially seeks to address some of the consumer protection concerns raised by stakeholders, particularly regarding the usage of BNPL models to perpetrate unfair trade practices.

Kenya Introduces New Tax Bill

Kenya’s latest proposed tax legislation, Tax Law Amendment Bill has been introduced on the floor of the country’s national assembly. The bill seeks to raise the government’s revenue with key revisions to the current tax categories. The bill comes with significant tax obligations particularly for non-resident businesses and individuals, digital businesses and air travel users, amongst others, with proposed tax deductions and exemptions for certain agricultural products and employee income.

Stronger IT Risk Management Requirements for South African FI’s as New Regulation Takes Effect

The Information Technology governance and risk management landscape for financial institutions (FIs) in South Africa is set to take a new phase with the coming into force of the Joint Standard on IT Governance, and Risk Management for Financial institutions, released last year. Amid rising cybersecurity threats, the Standard mandates stronger measures to mitigate third-party risks, build resilient IT systems, and enhance incident reporting.Compliance with these new standards ultimately would require collaborative and proactive efforts particularly for governing bodies, senior management and the IT departments of financial institutions.

Zimbabwe Introduces Data Controller Licensing Requirement for Whatsapp Group Administrators

Zimbabwe’s government has indicted plans to mandate WhatsApp group administrators to obtain licences from the Postal and Telecommunications Regulation Authority (POTRAZ) to curb misinformation and promote accountability, with licence fees ranging from $50 to $2,500, depending on the number of group members. This requirement is however expected to apply only to group administrators processing personal data for commercial purposes.

A WhatsApp-Powered Bank Rolls-out in South Africa

Mama Moneys WhatsApp-powered bank card, launched with Pick n Pay and Access Bank, highlights the rise of social finance in South Africa. Targeting the unbanked and underserved, it offers banking services like purchases, ATM withdrawals, and international transfers via WhatsApp for R99 upfront and R25 monthly. Regulators are increasingly supportive of tech-driven solutions like this, as this move not only boosts financial inclusion but also breaks down barriers like limited access to bank branches, which enhances financial inclusion while addressing barriers such as high fees and limited access to traditional banks.

Egypt Plans to introduce card tokenisation in 2025 to enhance the security of digital payments.

The Central Bank of Egypt (CBE) plans to introduce card tokenisation by 2025, replacing sensitive card details with unique digital tokens to enhance payment security and reduce fraud. This aligns with global and regional fintech trends, such as Nigeria’s AfriGo initiative, which focuses on secure digital payments.

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Across the World

TikTok Canada to Shutdown Over National Security Concerns

The Canadian government’s decision to wind up TikTok Canada, driven by national security concerns linked to its parent company ByteDance, raises interesting questions about the nature of corporate exits. While the winding-up order signals regulatory action, it doesn’t necessarily mean TikTok is leaving the market entirely. If TikTok remains available in app stores and continues to be taxed in Canada, the process may be more symbolic than substantive. This highlights the ambiguity in the approach as to whether it’s addressing the security issues at hand or merely serving as a regulatory gesture without significant operational impact.

UK Unveils Corporate Strict Liability Offence for Failing to Prevent Fraud

As the global legal and policy framework on financial crimes prevention continues to evolve, the UK appears to have taken yet another lead with the recent release of its new guidance on the failure to prevent fraud offences. Under the guidance, large organisations will now be liable for fraudulent acts of their associates intended to benefit the organisation or its clients, provided that adequate fraud prevention measures were not put in place by the organisation. Additionally, the guidance equally sets 6 fraud prevention principles that organisations could rely on to demonstrate adequate fraud risk prevention measures, with an effective date of September 2025 for the rules to take effect.

NatWest and Mastercard Introduce Mobile Virtual Card Payment Solution for Businesses

NatWest has teamed up with Mastercard to launch Approval2Buy with Mobile Virtual Cards, a new mobile payment solution for businesses. The service, the first of its kind in Europe, allows companies to issue virtual cards to employees for global use, eliminating the need for physical cards.

International Organization of Securities Commissions (IOSCO) Introduces Roadmap for Enhancing Online Safety for Retail Investors

The International Organization of Securities Commissions (IOSCO) has launched a Roadmap for Retail Investor Online Safety to address the growing risks of fraud, misinformation, and excessive risk tied to technological advances in digital trading and social media. This initiative aims to protect retail investors globally by promoting enhanced investor education and stronger regulatory frameworks. For member countries, the Roadmap will be implemented through their local Securities and Exchange Commissions (SEC) and Capital Market Authorities. In Nigeria, SEC-regulated entities can expect tighter regulations, including enhanced oversight of digital platforms, stronger investor education, and transparency measures, all aimed at improving protection and fostering a safer online investment environment.

Mastercard aims to make some big changes by 2030

Mastercard’s plans to replace physical card numbers and passwords with biometric authentication by 2030 are set to revolutionize online shopping. This innovation combines tokenization with biometrics to ensure secure, seamless transactions, addressing the rising fraud rates in digital payments, which are seven times higher than in-store fraud. Tokenization alone has already boosted global merchant sales by $2 billion monthly. As online security evolves, Visa’s plans to enhance fraud control with similar innovations could signal a need to revisit the EMV (Europay, Mastercard, and Visa) standard. The EMV system, which primarily focuses on securing card-present transactions with chip technology, may require updates to include controls around biometric authentication in coming years.

Pomelo Launches a Secure tool for International Money Transfers.

Pomelo, a US-based company, has launched a secure international money transfer solution designed to optimize payments from the US to the Philippines. The new tool enhances recipient security, ensuring that funds are sent to the intended individual. Since its inception in 2020, Pomelo has focused on facilitating money transfers to bank accounts or GCash wallets in the Philippines via its app, using Pomelo Mastercard or debit cards. The launch follows increased customer demand for more secure transactions, with features like identity verification through government-issued IDs and bank account confirmation via micro-deposit. This initiative aims to improve the security and efficiency of international transfers.

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Crypto Scoop

Bitcoin Soars to New High of $75,000 Following Trump’s Victory

On November 6th, as Donald Trump gained momentum in key swing states, both the dollar and Bitcoin surged, fueled by traders betting on his victory and expectations of tax cuts, tariffs, and rising inflation.. Bitcoin hit a record high of $75,371.69, surpassing its March peak. Trump has pledged to make the U.S. the global leader in cryptocurrency prompting speculations as to wider adoption and favourable crypto regulations in the United States.

UK to Finalise Crypto Regulation By 2025

The United Kingdom is set to introduce a draft regulatory framework for cryptocurrency assets in early 2025, as announced at the City & Financial Global Tokenisation Summit in London on 21 November 2024. The timeline was delayed due to a general election earlier this year, which resulted in a change of government. The framework is expected to cover areas such as stablecoins, staking services, and cryptocurrencies, adopting a unified approach to streamline the regulatory process.

Yellow Card secures crypto licence in South Africa

Yellow Card, a pan-African stablecoin infrastructure company that raised $33 million in October, has obtained a Crypto Asset Service Provider (CASP) licence in South Africa, marking a key milestone in its regional growth. In 2024, South Africa eased its regulatory approach to cryptocurrency, with over 138 companies now operating within the country’s regulated crypto ecosystem. The licensing framework, introduced to oversee services like exchanges, payment gateways, wallets, and advisory providers, has supported the processing of $26 billion in crypto transactions between June 2023 and June 2024. This regulation allows the South African government to tax crypto returns and mitigate risks tied to money laundering and terrorist financing.

Sanctions on Tornado Cash Overturned by US Federal Appeals Court

The Fifth Circuit Court of Appeals recently ruled that the sanctions imposed by the United States Department of the Treasury on Tornado Cash’s decentralized and immutable smart contracts were unlawful. The court determined these contracts do not constitute “property” under the International Emergency Economic Powers Act, as they are autonomous and cannot be controlled or owned. This decision limits the regulatory powers of the Treasury and highlights challenges in applying traditional legal frameworks to blockchain technologies. It also sets a significant precedent for businesses operating in decentralized ecosystems, providing clarity while raising questions about future regulatory approaches.

Kenya’s Blockchain Future: New Virtual Asset Regulations in 2024

Kenya’s proposed Virtual Assets Service Providers (VASPs) Bill 2024 seeks to establish a comprehensive regulatory framework for the cryptocurrency and blockchain industry, emphasizing consumer protection, financial integrity, and market stability. The bill mandates licensing for VASPs, requires adherence to strict anti-money laundering and counter-terrorism financing measures, and places the sector under the oversight of the Capital Markets Authority (CMA). It also introduces taxation provisions, reporting obligations, and consumer safeguards to enhance transparency and secure funds within the virtual asset ecosystem. This initiative reflects Kenya’s ambition to balance innovation in blockchain technology with robust regulatory standards to mitigate risks associated with unregulated virtual asset markets.

Rwanda’s Crypto Vision: Regulations Set for 2025

Rwanda plans to introduce cryptocurrency regulations by 2025, as stated by the Governor of the National Bank of Rwanda. The regulations aim to ensure that cryptocurrencies are safely integrated into the financial system, focusing on investor protection and preventing financial crimes. Rwanda is not looking to ban cryptocurrencies but wants to regulate them within a clear framework to promote innovation while maintaining financial security. These regulations are expected to be finalized in early 2025.

Nigerian SEC Flags Marino FX Ltd as Unlicensed Crypto Platform

The Nigerian Securities and Exchange Commission (SEC) has issued  a strong warning to investors and the general public regarding the status of Marino FX ltd, a Nigerian based cryptocurrency exchange company. The SEC has clarified that the company is neither licensed nor authorized to operate as a cryptocurrency exchange in Nigeria. The implication is that transactions on the company’s platform could expose investors to financial risks, including fraud and loss of investment.

Nigeria’s Investment and Securities Bill: Integrating Virtual Assets into the Traditional Securities Framework

The Nigerian Investment and Securities Bill seeks to incorporate virtual assets under the definition of securities, marking a significant step toward regulating digital assets within the existing securities framework. This would subject digital assets like cryptocurrencies to the same regulations as traditional securities, including requirements for disclosure, reporting, and investor protection. However, this inclusion raises important questions about how the current regulatory framework, based on the Investment and Securities Act (ISA), will adapt to the unique characteristics of virtual assets, such as decentralization, cross-border transactions, and lack of a central authority. These assets differ fundamentally from traditional securities, and applying the same regulatory rules may pose challenges. Nonetheless, the Bill reflects a growing acknowledgment of the need to integrate digital assets into the broader financial market while maintaining security, stability, and investor protection.

Wolfsberg Group’s Guidance on Digital Assets

The Wolfsberg Group’s recently published FAQs provide important compliance guidelines for financial institutions dealing with digital assets. The guidance highlights the need to adapt traditional Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) measures to the unique characteristics of cryptocurrencies, such as decentralization and anonymity. It emphasizes robust customer due diligence, transaction monitoring, and a risk-based approach to mitigate financial crime risks. The group’s stance reflects growing global recognition of the challenges posed by digital assets and the need for stringent, clear standards to balance innovation with security.

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Mergers and Acquisitions

Barclays Purchases Tesco Bank

Barclays, the British multinational bank, has completed its acquisition of Tesco Personal Finance’s retail banking division. The acquisition encompasses a range of services, including credit cards, unsecured personal loans, deposits, and the associated operational infrastructure, all of which will now be managed under Barclays UK. Both Barclays and Tesco Bank will continue to focus on serving the needs of their customers, adapting to an evolving market, and ensuring compliance with local regulatory requirements.

Access Bank to Acquire Mauritius-Based Afrasia Bank

Access Bank UK, a subsidiary of Access Holdings, will acquire a majority stake in Afrasia Bank, Mauritius’ fourth-largest bank by total assets, with over $5.7 billion in assets as of June 30, 2024. This acquisition allows Access Bank UK to expand its personal and corporate banking services in Mauritius, a key financial hub contributing 13.1% to the country’s GDP. The move also positions Mauritius as a strategic base for trade finance and regional connectivity, boosting Access Bank’s cross-border transaction capabilities. This deal follows Access Bank’s broader African expansion strategy, including recent acquisitions in Kenya, Tanzania, and Nigeria. Access Bank CEO Roosevelt Ogbonna emphasised the potential for fostering economic inclusion and trade in the region.

‘Mail to Pay’ Acquires Belgian Fintech POM.

‘Mail to Pay’,  a Dutch RPA startup focused on debt collection, has acquired Belgian fintech POM, a digital payment services provider, to unify operations under the POM brand in Belgium. The acquisition enables POM’s customers to leverage Mail to Pay’s functionality for automated  and personalized invoicing. RPA adoption continues to rise in finance and commerce, streamlining repetitive talks, with new machine learning models poised to expand its capabilities further.

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Deals and Raises

• Faber Launches third VC fund with $34m First Close, Aims for $64m
• Stanbic, Cardinalstone, 8 others trade 55% of equities in NGX
• Raknida Secures a $100,000 Grant to Support its Expansion into the US Market.
• Ariika Raises a $3 million Series A Extension to Drive its Expansion Across the MENA Region.

Have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation! Please note that the information provided in this article does not constitute legal or financial advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.