On 13 November 2020, the President of the Federal Republic of Nigeria signed the Banks and Other Financial Institution Act (2020) (BOFIA or the Act) into law. The Act repealed the extant BOFIA 1991 (as amended) and regulates the activities of banks and other financial institutions.
In this newsletter, we examine the Act and it’s impact on Fintech companies in Nigeria vis-a-vis their operations and the regulatory and compliance obligations set out in the Act.
One of the key highlights of the Act is the revision of the definition of Other Financial Institutions which now includes fintech companies (i.e. payment service providers, international money operators, etc.).