The Central Bank of Nigeria (CBN) will issue an implementation roadmap for Open Banking within the next three months as part of efforts to close technical gaps in the country’s financial ecosystem.
This disclosure is contained in the newly released CBN Fintech Report 2025, which outlines recent developments, policy priorities, and reform pathways in Nigeria’s fast-growing fintech sector.
The CBN had earlier introduced the Open Banking Framework through a circular issued in February 2021, followed by operational guidelines in 2023. The framework established principles for data sharing across the banking and payments ecosystem, including requirements for data access, Application Programming Interfaces (APIs), technical design, and information security standards.
However, despite the framework’s introduction, the apex bank acknowledged that lingering technical gaps have slowed the adoption of open data standards across the industry. To address this challenge, the CBN said it is now prioritising the rollout of technical protocols to accelerate implementation.
In the section on policy options and institutional pathways, the report stated that the regulator would “ensure the timely rollout of Nigeria’s open banking protocols, including technical standards, governance structures, and dispute resolution mechanisms,” while also prioritising consumer awareness and financial education to build trust and adoption.
The annex of the report outlined a phased implementation approach. Under the immediate priorities for the first phase (0–3 months), the CBN plans to establish a Fintech Engagement Forum under its leadership, issue an implementation roadmap for Open Banking, and commence industry sensitisation. Other actions include initiating technical scoping for a Single Regulatory Window and Smart Licensing Gateway, as well as coordinating a cross-agency review of Payment Service Bank lending restrictions and digital identity access.
For Phase 2, covering near-term reforms within three to nine months, the CBN plans to launch a pilot cohort for Regulatory Sandbox 2.0, incorporating artificial intelligence and RegTech use cases. The regulator also intends to operationalise a Fintech Credit Guarantee Window in collaboration with development finance institutions, issue guidance on data portability and consumer protection under Open Finance, and begin bilateral consultations on regulatory passporting with Ghana, Kenya, and Senegal.
Phase 3, which focuses on institutionalisation and scale over a 9–18 month period, will include the formalisation of a Fintech Advisory Council, the launch of a Regulatory Engagement Platform with a public consultation calendar, and the deployment of supervisory analytics and early-warning tools through SupTech pilots. The CBN also plans to participate in ECOWAS and African Union regulatory alignment forums to help shape continental standards.
The urgency of the Open Banking reform is underscored by findings from a recent ecosystem survey cited in the report, which revealed that 25 per cent of fintech executives consider open banking APIs the most critical digital infrastructure for future growth.
Globally, open banking has gained momentum as a catalyst for competition and innovation. The European Union’s Revised Payment Services Directive has become a benchmark for secure data sharing between banks and third-party fintechs, with similar models now adopted or adapted in countries such as Australia, Brazil, and Canada.
Beyond domestic reforms, the report highlighted growing regional ambitions among Nigerian fintech firms, noting that 62.5 per cent are planning cross-border expansion. To support this trend, the CBN is introducing a Regulatory Passporting Programme aimed at mutual licence recognition through bilateral agreements with peer regulators in countries including Ghana, Kenya, and South Africa.
The report also revealed a shift in the CBN’s approach to inclusive credit delivery. Rather than expanding the lending mandates of payment service banks, the regulator is focusing on authorising a dedicated digital banking licence, viewed as a more scalable model for extending credit and savings services to underserved populations while maintaining strong risk oversight.
To protect the evolving ecosystem, the CBN noted that artificial intelligence is increasingly being used as a defensive tool. Currently, 87.5 per cent of Nigerian fintech firms deploy AI primarily for fraud detection, addressing what industry stakeholders describe as a major sector challenge.
This emphasis on integrity aligns with broader national reforms that recently led to Nigeria’s exit from the Financial Action Task Force (FATF) “grey list,” a development the CBN said is expected to restore investor confidence and reduce the reputational risks associated with digital financial crime.
