SokoLoan fined N10 million & CBN freezes bank accounts of forex
These past weeks have seen regulations flying from the African govt especially as it relates to tech with more focus on fintech. Nigeria's Central Banks freezes bank accounts of forex platforms...
We'll give you loan today — but first, read out T&C, here’s a shameful pattern we will use to collect our money from customers - Soko Loan.
Now, the NITDA has fined them N10 million. Ha!
To the disgruntled. Three things happened - the CBN new guidelines for mobile money operators, the CBN clamp down on startups and the NITDA leaked the proposed bill. Welcome to Nollywood - The Verge said Netflix is not going to save us this time.
No need to flog the news; Techcrunch and Techcabal already did a fine write up that encapsulates everything. But you should know that - “tech companies making an annual turnover of N100 million (~$200,000) will have to pay a levy of 1% of their profit before tax.”
This year alone we’ve witnessed Crypto sales ban through banks, a Twitter ban, threatened NIN compliance and now a black tax on tech. The reality that tech is the new oil is now upon us and that simply say what they (Nigerian govt.) did to oil, they’ll likely do to tech. After all, what’s good for the goose is good for the gander.
Let me point this out. Whatever deal was between the FGN and Twitter has emboldened NITDA to try out a ridiculous act at this time when we should be building, encouraging and financing these startups so we reduce their failure rate as much as possible.
Anyway, Sahara Reporters came with a banger that ‘nobody look Lai face for US’ - “Lai Mohammed Returns To Nigeria After Fruitless US Trip, Shunned By Twitter Executives, American Media”.
If you’re building a startup in Nigeria, consider the advice from Iyi Aboyeji - co-founder of Flutterwave and Andela - “start building for a global audience and incorporate their companies outside the country if necessary”.
Despite the gloom law-full week, Opay secured the bag - got $400m from Japan’s Softbank Vision Fund.
Good morning!
A leaked bill for Nigerian startups reveals a theme of licenses, fees, fines, and sentences
In summary, the bill states that NITDA wants tech companies operating in Nigeria to get a license, pay pre-tax profit levies and sanction whoever (person or company) operates contrary to the new Act’s provisions.
Millions trapped as court freezes bank accounts of forex trading platforms
Aondoakaa told Justice Ahmed Mohammed that the foreign exchange deals done with the defendants was part of what was making the Naira weaker to the United States dollars, hence, the need to block 15 of their accounts for about 180 days.
How hybrid Cloud & AI boost innovation in Africa’s banking sector
The pandemic fast-tracked digital transformation as companies looked to emerging technologies in order to avoid business interruptions and ensure business continuity.
The banking sector was no different, digital transformation and adoption are the foundation of banks’ priorities as the use of digital channels and customer self-service continue to grow at a rapid pace.
Netflix Isn’t The Saviour Nollywood Needs
Netflix offers compensation which it claims is reflective of market rates. This comes down to average licensing fees of between $10,000 to $90,000, with most deals landing near the middle range according to off-the-record conversations with producers. In comparison, Netflix plans to spend $500 million on films and series produced in South Korea this year alone, the same amount the company announced it would be spending making and licensing content in the United Kingdom in 2019. At the heart of this disparity lies a critical discussion about how Black art is valued in mainstream spaces.
The impact of COVID-19 has been lower in Africa. We explore the reasons
There’s been an increase in COVID-19 deaths across Africa since mid-July 2021. But the impact of the pandemic in sub-Saharan Africa remains markedly lower compared to the Americas, Europe and Asia.
Dopay gets banking agent license through Bank ABC Egypt
This license allows the company to launch a next generation virtual banking platform enabling businesses to instantly open accounts for their employees and other beneficiaries and pay them in real-time, in accordance with the guidelines set by the Central Bank of Egypt.
KENYA: CBK gets powers to control mobile loan rates
Now, the key aim of the government-backed Central Bank of Kenya (Amendment) Bill, 2021, which seeks to empower the banking regulator to supervise digital lenders for the first time, is to curb the steep digital lending rates that have plunged many borrowers into a debt trap as well as predatory lending.
Stablecoins find a use case in Africa’s most volatile markets
While Bitcoin remains the most popular cryptocurrency, in Africa, stablecoins are gaining traction, as users look to get a hold of foreign currency, make digital payments, and safeguard the value of devaluing local money.
Nigeria NITDA’s N10 million fine on SokoLoan
Nigeria’s National Information Technology Development Agency (NITDA) has imposed a sanction of N10 million on an online lending platform, SokoLoan, for data privacy invasion and violation. SokoLoan, like most lending digital startups, uses “shaming” to get borrowers to pay.
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