-1323.png){kind=logo}
Stay ahead with our Regulatory Digest—your essential guide to the latest trends and insights shaping the tech and other sectors.
Regulatory Digest for June 2025
Introduction
This edition provides a concise overview of recent policy developments, regulatory guidelines, and strategic initiatives shaping Nigeria’s and Africa’s economic and digital landscapes. It highlights new frameworks and collaborative efforts across key sectors, such as telecommunications, digital innovation, trade, and finance, while underscoring the drive for inclusion, investment, and global competitiveness. This edition also captures significant legislative reforms, reflecting the region’s commitment to sustainable growth and regulatory alignment with international standards.
A quick summary...
Draft NCC General Authorisation Framework
The Nigeria Communications Commission (NCC) has published a draft General Authorisation Framework. The framework introduces a flexible, temporary licensing regime to support the testing and rollout of innovative telecom services through mechanisms like Proof-of-Concept, Regulatory Sandboxes, and Interim Service Authorisations. It is designed to fill gaps in the existing licensing system by enabling controlled trials of new technologies, with clear compliance, monitoring, and reporting requirements.
The framework will operate to ensure regulatory consistency with other regulatory instruments. It is expected to drive innovation and market growth but may also create transitional uncertainties for existing licensees and regulatory overlaps, impacting the telecoms ecosystem both positively and negatively.
A Virtual Stakeholders Forum will hold on Thursday, July 17, 2025, at 11:00 AM to review the draft document and collate feedback. Stakeholders are invited to submit written comments, and the deadline is Friday, July 11.
CBN Reaffirms Banking Sector Strength and Introduces Transitional Measures for Selected Banks
Through a circular released on June 17, 2025, the CBN has reaffirmed the resilience of the country’s banking sector while introducing transitional measures for a limited number of banks still completing temporary regulatory support introduced during the COVID-19 pandemic. These steps form part of the CBN’s broader recapitalisation programme announced in 2023, which has already spurred significant capital inflows and strengthened balance sheets across the sector.
The affected banks face temporary restrictions on capital distributions, such as dividends and bonuses, to support internal capital retention and ensure capital adequacy. The CBN clarified that these are routine supervisory actions aligned with international regulatory practices and not a cause for concern. It emphasised continued stakeholder engagement and reaffirmed its commitment to a stable, transparent, and resilient financial system that supports Nigeria’s long-term economic growth.
SEC Announces Transition to T+2 Settlement Cycle in Nigerian Capital Market
Following a comprehensive review and stakeholder consultations, the Securities and Exchange Commission (SEC) has announced that the equities segment of the Nigerian capital market will transition to a T+2 settlement cycle i.e transactions will be settled two business days after the trade date effective November 28, 2025. This change is expected to significantly enhance market liquidity by allowing faster access to funds, reduce counterparty risk, and align Nigeria with global best practices in capital market operations.
All market participants, including brokers, dealers, and custodians, are required to update their systems and processes to support the new settlement framework. The SEC has advised investors to engage with their brokers or investment advisers to understand how the shift may affect their trading activities and strategies.
SEC Clarifies Treatment of Unclaimed Dividends Under Finance Act 2020
The SEC has issued a directive clarifying the treatment of unclaimed dividends in light of ongoing misinterpretation by some paying companies and registrars. Contrary to claims that dividends older than 12 years are “statute-barred,” the SEC affirms that Section 60 of the Finance Act 2020 requires unclaimed dividends of six years or more to be transferred to the Unclaimed Funds Trust Fund (UFTF), where they will be held in trust until claimed by shareholders. Importantly, dividends that were not yet statute-barred as of December 31, 2020, remain claimable by shareholders.
Until the UFTF is fully established and operationalised by the Federal Government under the Investments and Securities Act 2025, the SEC has directed all public companies and their registrars to continue honouring requests for unclaimed dividends in line with the Finance Act provisions with effect, from December 31, 2020. Affected entities must comply with this directive and submit regular compliance reports as prescribed in the Commission’s Rules and Regulations.
SEC Issues Disclaimers on Meme Coins and Warnings Against Unregistered Investment Platforms
In furtherance of its supervisory oversight, the Commission has issued public disclaimers on ZugaCoin (including its variants SZCB and SZCB2), Samzuga GPT, and Punisher Coin (also known as $PUN). These digital assets are classified as meme coins. Preliminary investigations by the Commission indicate that these coins are not backed by verifiable business models and are highly susceptible to “pump and dump” schemes—forms of market manipulation where promoters artificially inflate the price of a coin before selling off their holdings at inflated values, ultimately leaving unsuspecting investors at a loss.
In the same vein, the Commission has issued strong warnings to the public against engaging with several unregistered entities operating within or targeting Nigerian investors, including CBEX (Crypto Bridge Exchange), operating under the corporate identity of ST Technologies International Ltd (also known as Smart Treasure/Super Technology), CMTrading, and Sapphire Scents Limited. Notably, CBEX has resumed operations despite prior enforcement actions taken by the Commission.
The SEC reiterates that none of these entities are registered or authorised to solicit investments or conduct capital market activities in Nigeria. Members of the public are strongly advised to refrain from engaging with these platforms and to verify the regulatory status of any investment product, platform, or promoter via the Commission’s official portal.
FMCIDE Launches Nigeria AI Scaling Hub in Collaboration with Gates Foundation
The Federal Ministry of Communications, Innovation & Digital Economy (FMCIDE) has partnered with the Gates Foundation to launch the Nigeria Artificial Intelligence (AI) Scaling Hub. This collaboration was announced at a Memorandum of Understanding (MoU) signing ceremony in Abuja. The hub will bring together key stakeholders, including government agencies, private tech companies, academia, and development partners, to coordinate and accelerate the deployment of mature AI solutions in Nigeria.
The AI Scaling Hub aims to drive the responsible development and large-scale implementation of AI innovations in critical sectors such as health, agriculture, and education. It will provide local innovators with access to resources, mentorship, and support, positioning Nigeria as a leader in the adoption of AI technologies across Africa.
FMCIDE Launches AgriConnect Initiative to Digitally Empower Farmer
The Honourable Minister of Communications, Innovation & Digital Economy, has launched the AgriConnect Initiative at the Cultural Centre Complex in Ogun State. The initiative was developed in collaboration with Huawei Technologies and MTN Nigeria, the programme is designed to integrate digital tools into Nigeria’s agricultural value chains. The pilot phase will provide over 1,000 farmers selected from the Ogun State Farmers Information Management System (OGFIMS) with smart, mobile-data-enabled devices featuring Huawei’s AI tools and MTN-supported connectivity.
AgriConnect aims to boost productivity and resilience in the agriculture sector by equipping farmers with real-time access to agronomic advice, weather data, financial services, and market insights. By leveraging technology, the initiative seeks to improve decision-making, reduce risk, and enhance engagement between farmers and government systems.
NITDA to Collaborate with the NCRMID on Digital Inclusion for Displaced Persons
The Director General of the National Information Technology Development Agency (NITDA) met with the Federal Commissioner of the National Commission for Refugees, Migrants, and Internally Displaced Persons (NCFRMI) to strengthen collaboration on digital inclusion for displaced Nigerians and vulnerable youth. They agreed to expand digital literacy, deploy ICT tools, and develop tailored training programs to address specific needs. The partnership will focus on targeted interventions co-created by technical teams from both agencies.
NITDA and Cisco Empower Youth with Digital Skills through Digital Livelihood for All (DL4ALL) Initiative
Fifty selected unemployed Nigerian youth have completed a four-week intensive digital skills boot-camp through the Digital Literacy for All (DL4ALL) initiative, a collaborative effort between the National Information Technology Development Agency (NITDA) and Cisco aimed at equipping participants with hands-on training in Data Science, Artificial Intelligence (AI), and IT Essentials. The programme, hosted at NITDA’s South West Zonal Office in Lagos, aligns with NITDA’s Strategic Roadmap and Action Plan (SRAP 2.0), supports the Renewed Hope Agenda, and contributes to the national target of 70% digital literacy by 2027. According to the agency, the initiative is part of its broader commitment to inclusive digital empowerment, ensuring young Nigerians are not just consumers of technology but also creators, innovators, and future employers. Participants also had the opportunity to showcase their learning through final presentations, reflecting strengthened technical competence and a readiness to contribute meaningfully to Nigeria’s digital economy.
NITDA and JICA Partner to Establish $11.2 Million Innovation Hub in Abuja
The National Information Technology Development Agency (NITDA) and the Japan International Cooperation Agency (JICA) have signed an agreement for the establishment of an $11.2 million Innovation and Startup Hub in Abuja to deepen support for Nigeria’s tech ecosystem. The hub, which builds on the iHatch initiative co-launched by both parties, will provide co-working spaces, a maker space, and infrastructure to help startups turn ideas into scalable products and services. The project is being executed in collaboration with a consortium of Japanese consultants and is envisioned as a centre for creativity, research, and technological development. According to NITDA’s Director General, Kashifu Inuwa, the hub will bridge the gap between training and commercialisation by offering mentorship, incubation support, and access to funding, which are essential for transforming startups into globally competitive, innovation-driven enterprises.
FIMTI Re-Launches NATEP and Signs MOU to Strengthen Public- Private Collaboration
The FMITI, under the Minister’s leadership, re-launched the National Talent Export Programme (NATEP) in Lagos to capitalise on the $1 trillion global outsourcing market. The initiative aims to position Nigerian youth as a competitive talent pool for digital and professional services. It focuses on building a supportive ecosystem through strategic policies, platforms, promotion, and partnerships to drive sustainable growth and international market integration. To strengthen the programme’s direction, a new National Coordinator of NATEP was appointed, and an MoU was signed to enhance public-private collaboration and highlight the advanced infrastructure underpinning the programme’s success, reinforcing efforts to build a robust ecosystem for talent development and export.
FIMTI Hosts the 8th Session of the Supervisory Committee of the D8- Preferential Trade Agreement
The FIMTI convened the 8th Supervisory Committee meeting of the D8 Preferential Trade Agreement, reaffirming its dedication to lowering trade barriers and fostering inclusive economic growth among member countries. The session emphasised accelerating tariff concessions, enhancing private sector participation, and prioritising the integration of youth and women in trade activities. These efforts are poised to boost intra-regional trade, stimulate economic diversification, and promote equitable opportunities, ultimately strengthening the overall development and resilience of the D8 economies.
FIMTI Attends the West African Economic Summit and Establishes the National Export Trading Company and Signs an MoU with Republic of Benin
The FMITI attended the West African Economic Summit and hosted a high-level deal room featuring over $1 billion in vetted, investment-ready projects spanning critical minerals, Compressed Natural Gas (CNG), and digital infrastructure. A key highlight was the unveiling of a landmark partnership between the Nigeria Commodity Exchange (NCX), ATDC, and Afreximbank to establish Nigeria’s first National Export Trading Company, aimed at transforming export opportunities for MSMEs and smallholder farmers. The summit also saw the signing of a Memorandum of Understanding (MoU) with the Republic of Benin to strengthen bilateral trade relations and develop cross-border value chains. The event emphasised action and collaboration, reinforcing Nigeria’s leadership in driving shared prosperity and bankable growth across West Africa.
Kenya Enacts Legislative Reform to Combat Illicit Financial Flow
The Kenyan President has signed into law major reforms targeting illicit financial flows, money laundering, and terrorism financing. The legislation amends several existing Acts, including those governing property, mining, and company structures, to close loopholes exploited for illegal financial activities. These changes were prompted by international scrutiny, especially after Kenya was placed on the Financial Action Task Force (FATF) grey list, and aim to align Kenya’s framework with global standards. The reforms are expected to strengthen regulatory oversight, boost investor confidence, and enhance Kenya’s credibility in the global financial system.
The Central Bank of Egypt Publishes Rules for Licensing PSOs and PSPs
The Central Bank of Egypt has published its rules for licensing and registering payment system operators and payment service providers. The rules establish a comprehensive regulatory framework to ensure the safety and efficiency of Egypt’s payment ecosystem. The document covers a wide range of activities, including electronic money issuance, payment account management, and digital payment facilitation, while also outlining exclusions and transitional provisions for existing operators.
This framework is expected to enhance trust, stability, and innovation in Egypt’s financial sector by aligning with international standards and strengthening oversight of digital payments. Stakeholders, including banks, fintechs, and payment companies should proactively review their operations, ensure timely compliance with the new rules, and engage with regulators to leverage opportunities and mitigate potential risks in the evolving payments landscape
These updates continue to signal the proactive shift toward fostering innovation, strengthening regulatory oversight, and promoting inclusive economic opportunities within Nigeria and across Africa. Stakeholders are encouraged to engage actively with emerging frameworks, leverage new partnerships, and ensure compliance with evolving standards to maximise benefits and mitigate risks. By embracing these reforms and initiatives, the ecosystem is poised for greater resilience, competitiveness, and sustainable development in the rapidly changing global environment.
If you would like to get more tech-related updates across Africa, subscribe to our bi-monthly newsletter here.
.png)
