CAC Streamlines Fintech Registration with Efficient Processing

The Corporate Affairs Commission (CAC) is making significant progress, efficiently processing over 15,000 applications daily, including weekends, for its fintech regularisation program.

In a public notice, the commission highlighted its commitment to ease of doing business, dispelling any misleading media claims about service challenges, particularly regarding name search availability. These reports were addressed as unfounded, affirming the organization’s positive image.

As part of its efforts to support the fintech and agent banking industry, the commission is evaluating each application on its merits. It has also launched APIs and developed a dedicated registration portal, facilitating fintech companies in seamlessly registering their agents, merchants, and platform users.

Background

In May, Hussaini Magaji, the Registrar-General of the CAC, announced that major fintech companies’ Point of Sales (PoS) agents, including those of OPay, Palmpay, and Moniepoint, are required to register their businesses by July 7, 2024. This initiative aligns with legal standards and the Central Bank of Nigeria’s (CBN) directives, aiming to safeguard businesses without targeting any particular group.

Magaji emphasized that this mandate is underpinned by Section 863, Subsection 1 of the Companies and Allied Matters Act (CAMA) 2020, and the 2013 CBN guidelines on agent banking. Despite some concerns raised by the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) about potential taxation implications, the CAC confirmed that the registration timeline was established in consultation with PoS agent representatives, demonstrating a collaborative approach.

While some PoS operators in the Federal Capital Territory (FCT) have expressed concerns, the overall process marks a step forward in ensuring a robust and compliant fintech ecosystem.