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The August 2026 edition of the Regulatory Digest tracks consequential regulatory and policy developments across Nigeria’s financial services, virtual assets, cloud computing, artificial intelligence, telecommunications, competition, taxation and intellectual property landscape. Building on the virtual asset regulatory momentum, August saw further expansion of Nigeria’s emerging virtual asset governance framework.
The SEC published proposed rules on digital and virtual asset operations, custody and markets and admitted three additional Virtual Asset Service Providers under its Accelerated Regulatory Incubation Programme (ARIP), while the Nigeria Revenue Service issued guidelines on the taxation of virtual assets. Alongside these developments, the CBN launched the second cohort of its Regulatory Sandbox Programme, providing a further pathway for the controlled testing of innovative financial products and services.
Beyond virtual assets and financial innovation, the month reflected a broader push to strengthen Nigeria’s digital infrastructure and innovation ecosystem. The FMCIDE unveiled the National Digital Cloud Policy and announced plans for an AI Academy, while NITDA progressed implementation of the National Sovereign Cloud Initiative.
The month also saw the introduction of an intellectual property framework aimed at commercialising and securitising creative assets. Across the continent, Kenya tightened registration requirements for cyber cafés, while Senegal approved its Critical Information Infrastructure and Cybersecurity Bill, reflecting continued regulatory attention to cybersecurity and digital governance across African markets.
A quick summary...
The National Information Technology Development Agency (NITDA) has signed key regulatory instruments under the National Sovereign Cloud Initiative (NSCI), marking a significant step in Nigeria’s digital transformation and digital sovereignty agenda. The instruments include the National Cloud Computing Guideline, National Cloud Technical Guideline, and National Digital Infrastructure Assurance Framework, alongside the presentation of the National Cloud Investment Strategy.
To support implementation, NITDA has established a multi-layered governance structure comprising the Sovereign Cloud Governance Committee (SovGov), which provides strategic oversight with NITDA serving as secretariat; the Joint Technical Committee (JTC-NSCI), inaugurated by NITDA and the Budget Office of the Federation (BOF) to address fiscal, procurement, financing and investment matters; and the Implementation Taskforce (NSCI-ITF), a multi-stakeholder body responsible for technical coordination, resolving operational bottlenecks and ensuring regulatory alignment across sectors.
The initiative is expected to introduce national certification for cloud service providers and data centres, with implementation targeted for October 2026. The initiative signals Nigeria’s broader shift towards stronger data governance, infrastructure assurance and localisation of critical data and digital infrastructure.
On 31 July 2026, the Nigeria Revenue Service (NRS) issued the Information Circular No. 2026/21 – Guidelines on the Taxation of Virtual Assets, providing detailed guidance on the tax treatment and administration of virtual asset activities in Nigeria. The Guidelines are intended for taxpayers, Virtual Asset Service Providers (VASPs), peer-to-peer (P2P) marketplace operators, tax practitioners and other participants in the virtual asset ecosystem.
The Guidelines operationalise the virtual asset provisions of the Nigeria Tax Act 2025 and Nigeria Tax Administration Act 2025, providing greater clarity on registration, reporting, record-keeping, valuation and the tax treatment of virtual asset transactions. They cover income tax, capital gains, VAT and withholding tax considerations and provide guidance on when transactions constitute taxable events.
The framework also addresses the treatment of different types of virtual assets and transactions, including crypto assets, stablecoins, NFTs, staking and airdrops, and provides rules for determining the value and location of virtual assets for tax purposes. Certain transactions may fall outside immediate taxation where there is no disposal or realisation of value, such as transfers between wallets under the same beneficial ownership.
For VASPs and P2P operators, the Guidelines reinforce the need for appropriate tax registration, transaction records, reporting and compliance processes. This is significant given the broader 2026 regulatory coordination framework established through the Presidential Executive Order on Virtual Assets Coordination, which brings the Nigeria Revenue Service (NRS), Securities and Exchange Commission (SEC), Central Bank of Nigeria (CBN), Nigerian Financial Intelligence Unit (NFIU) and Office of the National Security Adviser (ONSA) into a coordinated regulatory structure.
The Guidelines provide greater tax certainty for Nigeria’s virtual asset ecosystem while introducing more defined compliance expectations for businesses and individuals engaged in virtual asset activities. VASPs and other affected businesses should assess their transaction flows, tax treatment, record-keeping, reporting and internal controls against the new requirements and consider the interaction between tax obligations and existing licensing and regulatory requirements.
On 5 August 2026, the Federal Ministry of Art, Culture, Tourism and the Creative Economy (FMACTCE) received the Comprehensive Framework for the Development of Intellectual Property Commercialisation and Securitisation for the Creative Industry in Nigeria. The framework was developed by L&A Legal under the Ministry’s Afreximbank-supported project on improving intellectual property protection and monetisation in Nigeria.
The framework provides a proposed roadmap for transforming intellectual property, including copyrights, trademarks, patents and other intangible assets into financeable or bankable assets. It addresses mechanisms for IP valuation, commercialisation and securitisation, with the broader objective of enabling creators and creative businesses to leverage their IP to access financing, attract investment and support enterprise development.
The initiative is positioned as part of broader efforts to strengthen Nigeria’s IP ecosystem and unlock the economic value of the creative sector. It could create new financing and investment opportunities across areas such as music, film, fashion, design and other creative industries.
The framework is currently a policy and implementation roadmap rather than a new binding regulation. Its practical impact will depend on subsequent implementation, including the development of mechanisms and regulatory arrangements that enable IP to be valued, used for financing and securitised. This makes subsequent government and financial-sector measures important to monitor.
The Securities and Exchange Commission (SEC), on 20 August, 2026, published the Proposed Rules on “Digital and Virtual Assets Operations, Custody and Markets (the “Proposed Rules”). The Proposed Rules seek to apply to digital and virtual asset activities that constitute investment and securities business in Nigeria.
The activities identified include the issuance and offering of digital and virtual assets, tokenisation, lifecycle management, hybrid digital-asset arrangements, trading, custody, transfer and settlement, investment and advisory services, and other activities that the SEC may determine fall within its regulatory remit.
Importantly, the Proposed Rules also captures persons that operate in Nigeria, provide services to Nigerian residents, or target Nigerian investors or the Nigerian market, including through digital channels. The Proposed Rules also limit the amount retail investors can invest in digital asset offerings, including a N1 million cap per issuer and a N10 million aggregate limit within a 12-month period.
The Commission has invited stakeholder comments, with submissions due to the Proposed Rules Committee within two weeks of publication.
The Central Bank of Nigeria (CBN) has launched Cohort 2 of its Regulatory Sandbox Programme, inviting eligible innovators, financial institutions, Virtual Asset Service Providers (VASPs), fintech companies and technology companies to apply.
The programme comprises two dedicated testing tracks: the VASP Track, covering virtual assets, stablecoins, payments, settlement, custody, wallets and related infrastructure; and the Data-Enabled Financial Services Track, covering non-VASP solutions that use secure digital infrastructure and permission-based data sharing to improve financial services and consumer outcomes.
Successful applicants will test their innovations within defined parameters under the CBN’s supervision and subject to safeguards relating to consumer protection, cybersecurity, operational resilience and regulatory reporting. Participation does not constitute a licence or authorisation to operate beyond the approved testing parameters.
Applications opened on August 12, 2026, and close on August 31, 2026. The initiative reflects the CBN’s commitment to fostering responsible innovation while preserving financial stability, consumer protection and market integrity.
The Central Bank of Nigeria (CBN) has revised the framework governing access to its Standing Lending Facility (SLF)/Discount Window, Tenored Repurchase Operations and participation in Open Market Operations (OMO). The key changes, which take immediate effect, include:
The revised framework is intended to improve liquidity management, support money-market functioning and strengthen monetary policy implementation.
The Securities and Exchange Commission (SEC) announced the admission of three additional Virtual Asset Service Providers (VASPs) into its Accelerated Regulatory Incubation Programme (ARIP). The entities identified by the SEC are Pisi Payments Solution Limited, BC Access (Nigeria) Limited and Yellow Card (YC) Financial Limited. The admission gives the entities Approval-in-Principle (AIP) to operate within the defined scope of ARIP and subject to the conditions imposed by the SEC.
The Commission expressly clarified that an AIP is not a final licence and remains conditional upon continued compliance with applicable regulatory, operational and supervisory obligations.
This shows the Commission’s continuing movement towards bringing Nigeria's digital-asset industry into a regulated capital-market environment. Additionally, ARIP provides the SEC with a controlled environment in which innovative business models can be assessed before they are fully introduced to the public.
The Federal Ministry of Communications, Innovation and Digital Economy announced the National Digital Cloud Policy, a major part of Nigeria's digital economy mission. This policy aims to create structure and governance around Nigeria’s cloud computing and data infrastructure such that Nigeria not only attracts external investment but also internally organises and modernises government service delivery.
The Nigeria Digital Cloud Policy also prioritises digital services export by positioning Nigeria as a hosting, processing and interconnection hub for Sub-Saharan Africa. Thus, the policy strengthens cross-border data flows, export promotion, regional interconnection, alignment with international standards, and mutual recognition arrangements.
At the same time, while the policy has clear, risk-based requirements for the residency of defined categories of government data, it maintains a competitive outlook for the cloud market by not enforcing data localisation rules or emphasising data sovereignty over an open, multi-provider approach.
The responsibilities covered under the Policy include regulatory oversight, assigned to the National Information Technology Development Agency (NITDA); operational delivery, assigned to Galaxy Backbone Limited (GBB); and alignment with public procurement requirements, assigned to the Bureau of Public Procurement (BPP).
The Federal Ministry of Communications, Innovation and Digital Economy has partnered with the 3 Million Technical Talent (3MTT) programme and the National Centre for Artificial Intelligence and Robotics (RAIN), as well as Meta, to launch AI Academy Nigeria, designed to provide Nigerian developers, startups and young professionals with technical training that could move Nigerians from consumption of AI to learning and development of functional products and solutions.
The AI Academy will comprise three programmes: AI Skills Development, the AI Startup Pitchathon, and the AI Developer Bootcamp. While the AI Startup Pitchathon will target and reward early-stage Nigerian startups using AI to solve real-world problems, the AI Skills Development Programme will provide a broader group of Nigerians with access to AI-related learning through the 3MTT programme.
The AI Developer Bootcamp, delivered by RAIN, will provide an intensive six-week programme for a selected cohort of developers and startups, with a focus on hands-on AI development.
On August 4, 2026, the Federal Competition and Consumer Protection Commission (FCCPC), through its Chief Executive Officer, Mr Tunji Bello, urged regulators and all interested parties within the Electricity sector to deepen their collaboration.
This follows the major transformation brought about by the Electricity Act 2023, which allows states to establish their own electricity regulatory commissions and supervise electricity markets within their jurisdictions, thereby fostering a necessary coordination between the FCCPC, National Electricity Regulatory Commission (NERC), the Nigerian Electricity Management Services Agency (NEMSA), and State Electricity Regulatory Commissions.
This is relevant to organisations within the sector because, with the FCCPC’s continued presence and support, consumer protection issues now face three-way scrutiny from the FCCPC, state commissions, and the NERC simultaneously.
On August 6, 2026, the Nigeria Communications Commission (NCC) announced the launch of the Universal Acceptance Workshop on Universal Acceptance, as a key enabler for a digitally inclusive internet. The event, scheduled for August 27, 2026, is to ensure that relevant stakeholders from the technology community, academia, government institutions, and the digital ecosystem, including Innovators, Startups, developers, and Tech Leaders, engage, share insights, and explore pathways to advance the adoption of Universal Acceptance for a more inclusive and accessible digital future.
This initiative matters because Universal Acceptance ensures all valid domain names and email addresses work effectively across internet applications and services, promoting greater accessibility and participation in the digital economy.
On August 11, 2026, the Nigeria Communications Commission (NCC) held a stakeholders workshop on protecting telecommunications infrastructure during road construction, excavation, and other activities. The event was to ensure all key relevant stakeholders collaborate to strengthen the protection of Nigeria’s Critical National Information Infrastructure (CNII) and promote uninterrupted, reliable connectivity across the country. This is particularly relevant to the reliability and resilience of Nigeria’s digital infrastructure, as damage to telecommunications infrastructure can result in service disruptions and affect the availability of critical digital and communications services across the country.
This is particularly relevant to the reliability and resilience of Nigeria’s digital infrastructure, as damage to telecommunications infrastructure can result in service disruptions and affect the availability of critical digital and communications services across the country.
The Federal Ministry of Industry, Trade and Investment (FMITI), in collaboration with the National Single Window (NSW) and the Nigeria Export Processing Zones Authority (NEPZA), is moving toward integrating free trade zones under a single digital platform.
The initiative aims to reduce duplication in import and export documentation by bringing free zone processes under a single digital platform. It is also expected to simplify trade procedures through single-document submissions, improve transparency and reduce the risks associated with manual document handling.
The implementation has included the electronic processing of licences and permits, which commenced in March, with over one hundred thousand permits already processed by SON, NAFDAC and NAQS. As part of the next phase, free trade zones will be integrated into the NSW, enabling import- and export-related permits for businesses operating within the zones to be processed electronically.
From August 14, 2026, Kenya’s cyber cafés will be required to register every customer and retain session records for at least three years, as the Communications Authority of Kenya (CA) moves to close the identity gap associated with shared-computer internet access. Operators must record each customer’s name and identification number, the terminal used, and the start and end time of the session.
They must also install filters capable of blocking illegal websites and harmful downloads and obtain the CA’s approval before reselling bulk or high-capacity internet connectivity. The CA may inspect operators’ premises, systems, equipment and records, while non-compliance may attract a fine of 0.2% of annual turnover, subject to a minimum of KSh500,000, as well as possible suspension or closure.
The final requirements are narrower than the CA’s initial proposal, which contemplated mandatory CCTV surveillance and retaining customers’ complete browsing histories. Although these measures were dropped, the new framework still creates significant privacy and cybersecurity obligations by requiring cyber cafés to maintain concentrated databases of customers’ identity and usage records.
Its effectiveness will therefore depend not only on regulatory enforcement but also on whether small operators can adequately secure these records against unauthorised access, misuse and data breaches.
The Senegalese National Assembly unanimously approved Bill No. 25/2026 on the Protection of Critical Information Infrastructure and Cybersecurity, strengthening the country’s framework for addressing increasingly sophisticated cyber threats.
The Bill establishes security standards for public bodies, individuals and private organisations and imposes specific obligations on operators of critical information infrastructure under the supervision of the competent administrative authorities and the National Cybersecurity Authority. It also regulates cybersecurity products and services and introduces administrative and criminal sanctions to enforce compliance.
A significant feature of the Bill is its broad territorial reach. It applies to information networks and systems supporting activities conducted in Senegal that are wholly or partly located within the country and may extend to digital services provided in Senegal through infrastructure located abroad.
This potentially brings foreign digital service providers within Senegal’s cybersecurity framework, although the practical scope of these obligations will depend on implementing regulations and international cooperation arrangements.
Ghana is targeting full operationalisation of its Virtual Asset Service Providers Act, 2025 by 2027. The Bank of Ghana (BoG) and the Securities and Exchange Commission (SEC) are developing operational guidelines and policy sandboxes to support the rollout.
A new seven-member Virtual Assets Coordinating Committee, drawing from the BoG, SEC, Ministry of Finance, Cyber Security Authority, and Financial Intelligence Centre, have been inaugurated in Accra to coordinate implementation. The committee will also address money laundering, terrorist financing, and cybersecurity risks tied to the sector.
The move signals Ghana's shift from legislation to functioning oversight, positioning it as a credible virtual asset hub in West Africa. The regulatory sandboxes suggest room for licensed innovation rather than blanket restriction, which could draw exchanges and fintechs seeking a compliant regional base.
Multi-agency coordination on financial stability and consumer protection also points to a more institutionally cautious rollout than a fast-track licensing sprint. With full implementation set for 2027, this is a gradual, guideline-first approach rather than an immediate market shift.
Pakistan's Virtual Assets Regulatory Authority (PVARA) has opened its licensing portal for virtual asset service providers (VASPs). Firms already operating in Pakistan before March 5 must obtain a no-objection certificate (NOC) by September 5 or suspend operations, while new entrants must be licensed before launching. The NOC is a temporary authorisation pending PVARA's full review of applicants' AML/CTF controls, ownership structure, and security measures.
This shifts Pakistan away from the State Bank's earlier restrictive stance toward formal oversight, aligning it with regimes in Nigeria, UAE, Singapore, etc. Clearer rules could attract legitimate exchanges, DeFi projects, and fundraising activity that had avoided the market because of legal ambiguity. The tight compliance window, though, may push out smaller operators lacking resources, consolidating the market around larger, better-capitalised firms.
Pakistan's PVARA is moving fast and punitively: it opened licensing with a hard NOC deadline and mandatory suspension for non-compliant firms already in the market, prioritising quick formalisation over grace periods.
Ghana, by contrast, is taking a slower, guideline-first path, building operational rules and regulatory sandboxes toward a 2027 full-implementation target with no suspension threat yet in play. It's interesting to see that despite different approaches, the regulation of virtual assets is becoming a permanent and important fixture across regions.
As regulatory mandates increasingly overlap across emerging sectors, the central challenge is shifting from policy creation to execution.
Against this backdrop, effective regulatory coordination will become increasingly important. The involvement of multiple regulators across virtual assets, electricity, telecommunications, cloud services, and other digital markets creates opportunities for more comprehensive oversight, but also raises the possibility of duplication, inconsistent requirements, and additional compliance obligations for businesses operating across sectors.
The next phase will therefore depend not simply on introducing new policies and rules, but on whether regulators can translate them into clear, coordinated, and commercially workable regulatory frameworks.
