The latest news now is that Many Nigerians are withdrawing money from Moniepoint and OPay after the Central Bank of Nigeria (CBN) fined the fintech giants ₦1 billion each......Read The Full Article>>.....Read The Full Article>>
It was gathered that CBN imposed the fines, totaling ₦2 billion, after an audit revealed compliance breaches.
Four other Nigerian fintech companies were also reportedly fined, though details remain undisclosed.
The move highlights the CBN’s increasing use of financial penalties to enforce regulations. For example, traditional banks in Nigeria paid ₦678 million in fines for violations in 2023, signaling a trend toward stricter oversight.
Moniepoint and OPay, both leaders in Nigeria’s fintech revolution, serve millions of users and process billions of transactions yearly. OPay boasts a customer base of 40 million, while Moniepoint handled 5.2 billion transactions in 2023 alone. However, their reliance on microfinance bank licenses—originally meant for small businesses—has raised concerns about consumer protection and regulatory compliance.
CBN is making it clear that compliance cannot be ignored for growth,” a regulatory expert said.
The central bank has also criticized the fintechs’ Know Your Customer (KYC) processes. Earlier this year, it temporarily banned companies like Kuda Bank and Palmpay from onboarding new customers due to KYC shortcomings.
The fines have unsettled customers, prompting many to withdraw funds. Social media is filled with complaints and warnings, reflecting growing distrust.
While Moniepoint has remained silent, OPay strongly denied the allegations. ‘We categorically deny the rumor that OPay Digital Services was fined ₦1 billion by the Central Bank of Nigeria for regulatory infractions. These rumors are completely false,’ the company said.
The fines mark a turning point in the CBN’s regulation of Nigeria’s booming fintech sector. Previously operating in a loosely regulated environment, companies like Moniepoint and OPay are now under intense scrutiny.
Financial analysts have warned that excessive regulation could hinder the progress seen in the fintech sector.
