CBN rejects direct fintech venture funding, pushes blended finance

Central Bank of Nigeria (CBN) rules out direct venture-style financing for fintechs, citing focus on monetary policy. Fintechs face 17% funding drop to $343M in 2025 due to macro volatility, regulatory delays, and currency risk. 87.5% of fintech executives back a dedicated growth fund or credit guarantee scheme. CBN previously ran agriculture-focused ABP with ₦1.1T disbursed but high defaults. Instead, CBN proposes blended finance via partners like Development Bank of Nigeria (DBN) and InfraCredit, aligning with Payments System Vision 2025. Government-backed iDICE program launched with $617.7M funding. Nigeria exited FATF grey list in October 2025, easing cross-border transactions. CBN to leverage development partners for co-financing infrastructure pilots and regulatory capacity building.

SOURCE: https://techcabal.com/2026/02/05/fintechs-want-growth-fund-cbn-says-funding-isnt-its-job/