The Federal Competition and Consumer Protection Commission (FCCPC) has officially restarted its enforcement of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations (DEON Regulations). This development follows a Federal High Court ruling in Lagos that confirmed the legality of these rules.
Justice A.L. Allagoa dismissed a lawsuit brought by the Wireless Application Service Providers Association of Nigeria (WASPAN). The association had questioned the FCCPC’s legal authority to enforce these specific regulations. However, the court ruled in favor of the commission, stating that the DEON Regulations fall squarely within the FCCPC’s constitutional and statutory powers.
The court’s decision effectively cancels the previous interim order that had forced the commission to pause its implementation efforts. Consequently, the FCCPC is now authorized to fully apply these regulations to the digital lending market.
Ondaje Ijagwu, the commission’s Director of Corporate Affairs, noted that the FCCPC suspended its actions immediately after the court’s earlier intervention to honor the rule of law. He emphasized that the current judgment validates the commission’s efforts to curb exploitative lending practices and foster a transparent, responsible financial environment. According to Ijagwu, the regulations are designed to bolster consumer protection and improve accountability while still encouraging innovation in the digital finance sector.
