Total number of loan app companies approved by the Federal Competition and Consumer Protection Commission, FCCPC, and the Central Bank of Nigeria has surged to 284 as of May 2024.

 

This was made known by the FCCPC in its updated list of approved digital lenders.

 

As of March 2024, the number of approved companies stood at 266.

 

The list comprises companies that have been given full approval, conditional approval, and those licensed by the CBN. According to the FCCPC database, a total of 232 companies have been granted full approval to operate as digital lenders in the country while 41 companies have conditional approval.

 

Meanwhile, the FCCPC is now banking on the consumer credit scheme recently introduced by the Federal Government to curb the excesses of loan sharks.

 

Adamu Abdullahi, the Acting Executive Vice Chairman of the FCCPC, said this while reacting to unethical practices by some digital money lenders.

 

Abdullahi said the scheme would provide Nigerians with access to collateral-free soft loans.

 

He said the scheme would also help reduce the rate at which Nigerians use unregistered loan applications that tend to harm and shame their character.

 

“What is happening is because the availability of loans is not there in Nigeria but you can see that this government through its Renewed Hope Agenda came up with a credit scheme.

 

“It has now gone into effect but it is only for government workers for now, it is going to address the gap that the apps were addressing before.

 

“So, once we have that kind of possibility in which a person can get a loan from a recognized institution, banks, it will be a soft loan without collateral.

 

“When that gap is now filled, these people (loan companies) will sit up and do the right thing or they fizzle out of existence,” the FCCPC boss said.