By Muhammad Sal
The Central Bank of Nigeria (CBN) has confirmed that Nigeria’s much-anticipated open banking framework has not yet been launched, despite earlier expectations of a rollout by August 2025. The regulator assured stakeholders that efforts are underway to finalise the governance framework and API standardisation necessary for a secure and effective open banking ecosystem.
Open banking, a system that allows secure data sharing between banks and third-party providers through application programming interfaces (APIs), promises to revolutionise financial services by enabling innovation, improving customer experiences, and expanding access to credit and payments across Nigeria.
In a recent statement, the CBN emphasised that while the timeline for launch has shifted, work remains focused on building a robust governance structure to protect consumers and financial institutions alike.
“We are committed to ensuring that the open banking environment is safe, functional, and beneficial for all stakeholders,” a CBN spokesperson explained.
The regulator is collaborating with key industry players, fintech firms, and technology experts to develop standard API protocols, a critical component for interoperability across diverse financial platforms.
The delay reflects the complexity of aligning multiple banks, fintechs, and regulators under common technical and legal frameworks, a challenge seen globally in open banking initiatives. Nigeria stands to benefit significantly from open banking, particularly in expanding financial inclusion.
According to the National Bureau of Statistics, about 36% of adult Nigerians remain unbanked or underbanked, a gap that open banking could help close by enabling alternative credit scoring and payment solutions.
Experts, such as fintech analyst Adaobi Umeh, note, “Open banking will unlock new opportunities for startups and traditional banks to collaborate, creating tailored financial products that serve millions of Nigerians currently underserved by the system.” However, Umeh warns that careful regulation and technology standardisation are critical to safeguard data privacy and prevent fraud.
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