Regulating Innovation for Financial Inclusion: Lessons from Nigeria

Abstract Innovative services such as mobile payments are potentially transformative because they can increase access to financial services, especially in developing countries. However, such innovations can disrupt the financial services ecosystem, prompting regulators to respond in different ways. These regulatory responses often have a significant impact on the success of such innovative services. Using Nigeria's regulatory approach as a case study, this article highlights specific lessons that should inform future attempts at regulating mobile payments.