Court Affirms FCCPC's Authority Over Airtime Lending Market

On a significant ruling, Justice Ambrose Lewis-Allagoa of the Federal High Court in Lagos affirmed the Federal Competition and Consumer Protection Commission's (FCCPC) powers to regulate Nigeria's consumer airtime lending market, valued at over N400 billion. The court dismissed a suit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN), which challenged the FCCPC's authority under the Federal Competition and Consumer Protection Act (FCCPA) of 2018.

The court found that the FCCPC's regulatory jurisdiction is derived from the 1999 Constitution and that its regulations do not conflict with the Nigerian Communications Act. The ruling removed legal obstacles that had temporarily restrained the FCCPC from enforcing regulations against digital lending practices, including airtime credit services.

The judgment emphasized the importance of consumer protection and the need for regulatory oversight in the digital lending ecosystem, which has faced scrutiny due to concerns over anti-competitive practices.