Nigeria’s financial technology industry recorded a strong 70% growth in 2025 despite a difficult global economic climate, according to a new report released by the Central Bank of Nigeria (CBN).
The report, titled “Shaping the Future of Fintech in Nigeria: Innovation, Inclusion, and Integrity,” highlights Nigeria’s growing status as one of Africa’s leading digital finance hubs.
The apex bank attributed the surge to improved domestic economic stability and a deliberate push toward digital transformation, which has helped the sector evolve from a cluster of small startups into one of the continent’s most dynamic innovation ecosystems.
CBN Governor, Olayemi Cardoso, said Nigerian fintech firms continued to attract investment and drive innovation even amid global headwinds.
Don’t Miss This: Funke Akindele’s Behind the Scenes grosses $301,505 in US, Canada
He noted that greater currency stability and economic reforms have reinforced the role of financial innovation in expanding access to financial services at scale.
However, the report warned that several challenges could slow future growth. Rising compliance costs—particularly in fraud prevention and anti-money laundering—remain a major concern for operators, while delays in regulatory approvals are extending the time it takes for new products to reach the market.
The study also pointed to technical and structural constraints within the ecosystem.
About half of industry stakeholders described fintech interoperability as weak, citing fragmented API standards and data protocols. In addition, 37.5% of respondents identified gaps in digital identity integration and limited credit history data as key obstacles to scaling financial services.
Infrastructure strain during peak transaction periods was also highlighted, with the report referencing a “Detty December” case study that showed how spikes in travel, remittances, and salary payments can test the resilience of payment systems.
To sustain momentum, the CBN outlined several policy initiatives aimed at balancing innovation with financial stability. These include a shared defence framework for real-time fraud intelligence, the exploration of regulatory passporting to support cross-border expansion within Africa, and the use of open banking and tiered KYC models to extend services to underserved populations.
The report concluded that stronger collaboration between regulators and innovators would be critical to ensuring Nigeria’s fintech sector remains a key driver of economic growth and a benchmark for financial inclusion across Africa.
