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Nigeria Data Localisation Rule Squeezes Fintechs

2 entriesThu, Jun 18Fri, Jun 19Policy & Regulation

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  1. Fri, Jun 19LatestUnverified — not yet reviewed

    Lesaka-Bank Zero acquisition delayed as CBN data localisation adds fintech regulatory risk

    Lesaka has delayed the closing of its Bank Zero acquisition, adding execution uncertainty to a deal already unfolding against a tightening regulatory backdrop. Nigeria's CBN data localisation directive continues to generate compliance cost concerns for fintech operators, reinforcing yesterday's risk signal. Together the developments underscore a more complex regulatory environment for cross-border fintech M&A and operations across the continent.

  2. Thu, Jun 18Unverified — not yet reviewed

    CBN data localisation directive raises fintech compliance costs

    Nigeria's Central Bank is pushing a data localisation directive that would require fintech companies to store data domestically, raising material infrastructure costs and compliance burdens for operators. Fintech executives have voiced concern that the policy could stifle innovation and increase operating costs, creating a near-term regulatory risk for Nigerian fintech investments.