Nigerian Senate Calls for Responsible Innovation in Fintechs, Tightens Regulatory Oversight
Stakeholders in Nigeria’s fintech sector have been urged to innovate responsibly as the Senate looks to strengthen regulatory oversight in the industry. This call for responsible innovation came during a two-day workshop in Abuja, organized by the Senate Committee on Legislative Compliance. The workshop was aimed at addressing gaps between legislative resolutions and their implementation by Ministries, Departments, and Agencies (MDAs). Focused discussions also highlighted the need for reforms such as modernizing regulatory frameworks and enforcing stricter sanctions for non-compliance.
Godswill Akpabio, Senate President, represented by Osita Ngwu, emphasized the importance of compliance in a democratic society. He pointed out the irregularity of public institutions ignoring or selectively implementing resolutions from the National Assembly. Akpabio stressed that compliance should be the default, urging institutions to implement legislative resolutions without delay or exception.
Garba Maidoki, the committee chairman, echoed concerns over non-compliance, citing its detrimental impact on national development. He noted that inefficiencies in sectors like infrastructure and healthcare, driven by non-compliance, were evident across the country. Maidoki pointed out the widespread issue of abandoned projects, which cost the nation billions of naira and remain incomplete, impacting essential public services.
Rasaq Kadri, head of compliance at fintech firm Kuda, provided insights into the private sector’s role in responsible fintech innovation. He stressed that while fintech has made financial services more accessible, it must do so with accountability to avoid deepening risks. Kadri highlighted the importance of collaboration between regulators and fintechs, advocating for updated regulatory frameworks that support innovation while ensuring compliance. He concluded that innovation and compliance should go hand-in-hand, reinforcing each other for long-term success.
Source: Business day