*Nigerian regulatory authorities say consumers’ continuing complaints about questionable repayment enforcement practices, including public shaming and violations of privacy, arbitrary, unjust, unreasonable, or exploitative interest rates and/or loan balances calculations by moneylenders have led to significant people’s aggravation and dissatisfaction in the economy

Gbenga Kayode | 绿帽献妻

The Federal Government鈥檚 regulatory authorities have met and agreed to collaborate in an effort at addressing the reportedly growing multiple and potentially dubious conduct of certain moneylenders, otherwise known as 鈥榣oan sharks鈥�, in the Nigerian economy.

绿帽献妻 reports Nigeria鈥檚 Federal Competition and Consumer Protection Commission (FCCPC), pursuant to Sections 17(a), (e), (g), (h), (i), (m), (s), (x), (y), (z); 123; 124; 127; 129; 130 of the Federal Competition and Consumer Protection Act (FCCPA) 2018, has stated it hosted a meeting with other regulatory agencies to tackle the menace November 10, 2021.

According to the Commission, the FCCPC hosted a meeting attended by the Chief Executive Officer of the Independent Corrupt Practices Commission (ICPC), and representatives of the National Information Technology Development Agency (NITDA) and Central Bank of Nigeria (CBN) to address multiple potentially dubious conduct of certain moneylenders in the country鈥檚 economy.

The FCCPC EVC/CEO noted that continuing complaints about questionable repayment enforcement practices including public shaming and violations of privacy, arbitrary, unjust, unreasonable, or exploitative interest rates and/or loan balances calculations, harassment, and failure of consumer feedback mechanisms among others have led to significant and understandable consumer aggravation and dissatisfaction in the country.

Irukera stated: 鈥淚nitial inquiries demonstrate that many of the purported lenders are not legally acceptably established or otherwise licensed by the appropriate authorities to engage in the services they ostensibly provide.

鈥淭he meeting resolved to collaborate, pursue urgent enforcement action against already known violators while investigating others, as well as criminal prosecutions where applicable.

鈥淎 joint taskforce of analysts and enforcers was also created and immediately activated.鈥�

The statement further said Irukera commended the invited regulatory agencies for the swift responses and willingness to collaborate in addressing what is fast becoming a dominant and abusive practice targeting some of the most vulnerable in the society.

The FCCPC stated that the agencies also recognise and welcome products and providers that bridge or close the lending gap to consumers who would otherwise be ineligible for conventional loans from traditional financial institutions, as well as the scalability and ease of access to financing for several consumers of financial products and services.

However, the agencies cautioned this must occur within legally acceptable parameters of transparency and fairness in Nigeria.

Irukera stated, therefore, in furtherance of resolutions from the joint meeting, and the Commission鈥檚 role in coordinating the government鈥檚 response, the FCCPC has created a dedicated e-mail address to receive complaints, and or any information about any experiences, identity of businesses or individuals involved in these practices, or any other relevant information that may be helpful to the investigation.

鈥淭he e-mail address is lenderstaskforce@fccpc.gov.ng,鈥� the Commission said.