A Federal High Court has upheld the digital lending regulations of Nigeria, ruling that the Federal Competition and Consumer Protection Commission (FCCPC) cannot license telecommunications companies or regulate airtime lending, vesting those powers for the Nigerian Communications Commission (NCC).
Justice Ambrose Lewis-Allagoa delivered the judgment on Monday in Suit No. FHC/L/CS/760/2026, dismissing a suit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN) to nullify the FCCPC’s Digital, Electronic, Online or Non-Traditional Consumer Lending (DEON) Regulations 2025.
The decision follows months of regulatory uncertainty that disrupted airtime and data credit services across Nigeria. In April 2026, telecom operators, including MTN, Airtel, and Globacom, suspended emergency airtime and data credit services after the FCCPC classified airtime advances as digital loans under the DEON Regulations.
Telecom operators argued that continuing the services without regulatory clarity exposed them to compliance risks, affecting millions of subscribers who rely on airtime advances for daily communication.
The FCCPC later suspended enforcement after WASPAN secured an interim injunction, allowing operators to resume the services while the case was pending.
Monday’s judgment lifts that injunction, restoring the digital lending framework, which will now require coordination between the FCCPC and the NCC.
In its ruling, the court held that the FCCPC’s authority over competition and consumer protection still exists, but not in place of the NCC’s statutory responsibilities.
Justice Lewis-Allagoa stated that while the FCCPC can regulate consumer protection issues, the NCC retains exclusive authority over telecommunications licensing, technical regulation and the sector oversight.
FCCPC Director of Corporate Affairs, Ondaje Ijagwu stated that;
“The Commission has always maintained that the rule of law is fundamental to effective regulation and good governance…the regulations are now fully operational and enforceable” – Ondaje Ijagwu, FCCPC Director of Corporate Affairs
President of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, said the judgment provides long-awaited regulatory clarity by defining the responsibilities of both regulators.
He urged the FCCPC and NCC to establish a coordinated framework before taking regulatory actions that could disrupt services relied upon by an estimated 40 million Nigerians.
