Stakeholders in Nigeria’s telecommunications and digital finance sectors have called for closer collaboration between the Nigerian Communications Commission (NCC) and the Federal Competition and Consumer Protection Commission (FCCPC), saying a coordinated regulatory approach is essential to sustain innovation, strengthen investor confidence and expand access to digital credit services used by millions of Nigerians.

The call comes as the industry continues to digest the recent judgment of the Federal High Court in Lagos, which upheld the validity of the FCCPC’s Digital, Electronic, Online or Non-traditional Consumer Lending (DEON) Regulations while affirming that the Commission’s powers coexist with those of the NCC.

In the judgment, Justice Ambrose Lewis-Allagoa held that “concurrency means coexistence, not displacement,” maintaining that while the FCCPC has consumer protection powers under its enabling law, the NCC remains the telecommunications licensing and sector regulator.

Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, said the judgment presents an opportunity for both regulators to strengthen cooperation in the interest of consumers and the industry.

“The lesson is that Nigeria’s regulatory agencies need formal coordination protocols for services at the intersection of telecommunications and financial products. 

The FCCPC’s consumer protection mandate and the NCC’s telecom regulatory mandate can coexist without either displacing the other. We are ready to participate in that conversation and urge both agencies to begin it without delay,” Adebayo said.

He had earlier described airtime credit as “economic infrastructure” used regularly by approximately 40 million Nigerians, warning that its temporary disruption had consequences extending well beyond the telecommunications industry.

Industry estimates place Nigeria’s airtime credit market at between ₦300 billion and ₦400 billion annually, reflecting the growing role of digital micro-credit services in supporting traders, artisans, transport operators, students and other prepaid mobile subscribers who depend on uninterrupted connectivity for business and daily communication.

Although subscribers access Airtime Credit Services through their mobile network operators, the technology underpinning real-time eligibility assessment, automated credit decisions and repayments is provided by specialised financial technology companies operating within the telecommunications ecosystem.

Among them is Nairtime Nigeria Limited, the Nigerian operation of Optasia, which provides the technology that enables Airtime Credit Services offered by mobile network operators. Beyond emergency airtime, the company also supports other small-value digital financial solutions through automated credit assessment, disbursement and repayment technology designed to expand responsible access to financial services.

Chief Executive Officer of Nairtime Nigeria and Optasia Chief Commercial Officer, Uchenna Agbo, said collaboration among regulators and industry participants remains essential to advancing financial inclusion through technology.

“Fair financial access is at the heart of our business and we are committed to working constructively with regulators and our partners as the legal process unfolds to promote a fair, transparent and inclusive digital ecosystem that benefits Nigeria and all Nigerians,” Agbo said.

She also described airtime credit service as significant because it provides “a lifeline for millions of Nigerian consumers who rely on them for daily connectivity.”

The debate over regulatory coordination is expected to continue after the Wireless Application Service Providers Association of Nigeria (WASPAN) filed a Notice of Appeal against the Federal High Court judgment. The appeal asks the Court of Appeal to review aspects of the decision on the respective regulatory roles of the FCCPC and the NCC in relation to technology-enabled credit services.

Industry analysts say the ongoing legal process reinforces the need for institutional collaboration rather than regulatory overlap as digital financial services continue to evolve. 

They argue that predictable regulation, effective consumer protection and clear regulatory boundaries will encourage investment, foster innovation and ensure millions of Nigerians continue to benefit from secure and accessible digital credit services.