Nigeria's FCCPC has published a consultation draft of new sales promotion regulations that would add a registration requirement, with its object left unclear, for businesses using AI and automated marketing aimed at Nigerian consumers, and would have them label AI-generated content, honour opt-outs and keep two years of records on how those systems work

What has the FCCPC published?

A consultation draft, posted on the FCCPC website on Wednesday 30 September 2026 under the heading "DRAFT Sales Promotion (Amended) Regulations, 2026". The notice says the draft is issued "to enable relevant stakeholders and members of the public provide inputs and comments" as part of the Commission's consultative process, and that "Inputs, comments and recommendations are welcomed on or before October 20, 2026". Nothing in it binds anyone yet.

According to the notice, the Commission acts under sections 17, 18 and 163 of the Federal Competition and Consumer Protection Act 2018, and the draft amends the Consumer Protection (Sales Promotions) Regulations, 2005 and modifies the fees for notifications. The notice is signed by Olatunji Bello as Executive Vice-Chairman/Chief Executive.

The draft is a Word attachment with Parts numbered I to XVII and two schedules of forms. Most of it deals with ordinary promotion mechanics: registering a promotion, prize draws, winner notification, post-promotion reports and penalties. The AI material is concentrated in a sub-heading of Part III and in a Part V titled "ARTIFICIAL INTELLIGENCE AND AUTOMATED MARKETING". The draft's own commencement clause says it would come into force "on the date of publication in the Federal Gazette". The notice does not mention any Gazette publication.

What would Part V ask of AI and automated marketing?

Part V opens with a registration clause. In the consultation draft, which is not in force, it reads: "All undertakings that deploy, operate, or utilize artificial intelligence (AI), machine learning systems, or automated technologies for the purpose of conducting, managing, or disseminating sales promotions, marketing communications, or consumer engagement activities directed at or accessible to consumers in Nigeria shall register same with the Commission." The scope goes past prize promotions to "marketing communications" and "consumer engagement activities".

The draft does not say what "same" refers to. It could be the AI or automated system, or the promotional activity it runs. Part II of the draft separately has every sales promotion registered before launch, and Part V adds no form, fee or timetable of its own. We flag the ambiguity without resolving it; this is a proposal still open for comment.

The next clauses of the proposed Part V, none of them in force, deal with accountability and labelling. An undertaking using AI-generated content or automated promotional systems would be "responsible and accountable for all representations, messages, and claims generated or communicated by such systems". Promoters would have to make AI-generated or automated marketing content "clearly identifiable as such". The draft adds that "The use of AI chatbots, virtual influencers, or automated messaging systems in marketing shall be conducted in a transparent manner and must not involve manipulation, misinformation, or exploitation of consumer data or behavioural tendencies."

Three more proposals complete the Part, all at consultation stage. Promoters would put in place technical and organisational safeguards and ensure that "consumers retain the right to opt out of automated or AI-driven marketing communications at any time". Where an AI system or automated tool makes promotional decisions with misleading, discriminatory or harmful outcomes, "the promoter or operator of such system shall be liable for any breach of these Regulations". And promoters and digital service providers using AI in marketing would "maintain detailed records of the design, operation, data sources, and decision-making processes of AI or automated systems for a minimum period of two (2) years", to be provided to the Commission on request.

The last clause of the draft Part V says the Commission may issue further guidelines, standards or directives on the ethical use of AI in sales promotions, including "mandatory transparency statements". None has been issued under this text, which is itself only a draft.

What does Part III add on algorithmic offers and targeting?

Part III of the draft covers digital and online promotions and carries a sub-heading "(Algorithmic and Targeted Promotions)". Under this consultation proposal, where a promoter uses algorithmic tools, AI or automated decision-making to set promotional offers, prices or targeting, "such systems shall be designed and operated in a transparent and non-discriminatory manner."

The same block would bar a promoter from using "algorithmic mechanisms to manipulate consumer behaviour, exploit consumer vulnerabilities, or misrepresent the comparative value of an offer." It would also let the Commission ask how the system works: "The Commission may require disclosure of the criteria or logic underlying such algorithmic promotions where necessary to assess compliance with these Regulations." All three sentences are proposals in an unsigned draft.

Two nearby clauses matter for platforms and vendors. The Part III liability clause in the draft would make a promoter, digital platform or intermediary that hosts or disseminates a misleading or non-compliant online promotion "jointly and severally liable for any breach of these Regulations". Separately, Part VIII on prize draws would have a promoter running an automated or online draw give the Commission advance "information about the random selection algorithm or software to be used, including audit logs or source code". Neither is in force.

Would the draft reach marketers outside Nigeria?

As drafted, yes on paper. Part I says the Regulations would apply to any sales promotion offered to consumers within Nigeria or having effect there "regardless of where the promoter is located", and Part III's scope clause names "both domestic and foreign entities" whose promotions target Nigerian consumers or are accessible in Nigeria. The Part V registration clause uses the phrase "directed at or accessible to consumers in Nigeria". These are proposed scope rules in a consultation text, not powers in use.

A second Part, also numbered V and headed "CROSS-BORDER AND E-COMMERCE TRANSACTIONS", goes further. In the draft, any foreign or offshore undertaking that targets digital promotions at Nigerian consumers "shall be deemed to be carrying on business within Nigeria for the purpose of these Regulations", promoters in cross-border e-commerce aimed at Nigeria would designate "a local representative or contact person in Nigeria", and the Commission could restrict access to promotional content or websites of a foreign entity that ignores its directives. We know of no such step taken under this text, and on its own terms the text would take effect only once gazetted.

On the penalty side, Part X of the draft would apply to contravention of "any provision of these Regulations", with administrative penalties of up to NGN50,000,000.00 for a natural person and, for a body corporate, up to NGN100,000,000.00 or 1% of the previous year's turnover, whichever is greater. These figures are proposals open for comment.

What drafting problems does the text show?

We report these as they appear in the file and do not correct them. In this consultation draft, two Parts are numbered V: one headed "ARTIFICIAL INTELLIGENCE AND AUTOMATED MARKETING" and, directly after it, one headed "CROSS-BORDER AND E-COMMERCE TRANSACTIONS".

The titles do not agree. The notice calls the instrument "DRAFT Sales Promotion (Amended) Regulations, 2026", the draft is headed "Sales Promotion Regulations, 2026", and its short-title clause cites it as the "Federal Competition and Consumer Protection Commission Sales Promotion Regulations, 2026". Its savings clause says the 2005 Regulations are "hereby amended" but then refers to "Regulations revoked by sub-regulations (1)".

The labelling sentence in Part V stops mid-thought. It ends "shall not mislead consumers into believing same to be natural" with no full stop and no word after "natural"; we do not guess what was intended. The draft also refers twice to a "Third Schedule" of fees, but the file contains only Schedule 1 and Schedule 2, so no fee figures can be read from it.

The execution clause is blank: "Made at Abuja this ___ day of _______________, 2026". The signature line beneath it reads "tunji Bello", while the notice names Olatunji Bello. The attachment's file name refers to "Stakeholders Letters", but the file we opened contains the draft regulations and forms, with no covering letter.

What we did not verify

What we opened: the FCCPC notice page "DRAFT Sales Promotion (Amended) Regulations, 2026", saved on 1 October 2026, and the Word attachment linked from it, downloaded and converted to text the same day. We read the whole draft, Parts I to XVII and both schedules. Word's automatic paragraph numbering did not survive conversion, so we cite the draft by Part and heading, not by regulation number.

What we did not open: the Consumer Protection (Sales Promotions) Regulations, 2005 that the draft amends; the Federal Competition and Consumer Protection Act 2018 beyond the sections the notice names; any Third Schedule of fees, which is not in the file; any FCCPC guideline on AI in marketing; any comment submitted in the consultation; and any Federal Gazette.

What we refuse to claim: we do not say these Regulations are final, in force or certain to be adopted in this form, or predict when they might be gazetted. We do not say the FCCPC has applied any extraterritorial power under this text to anyone. We do not say what "same" means in the Part V registration clause, what the labelling sentence was meant to say after "natural", or what fees would apply. We make no claim about how these proposals compare with rules in other countries.

Quotations are copied from the FCCPC notice page and the draft text. Part headings are quoted by their title words only, without the Part number and the dash that follows it. No characters are changed and no words are omitted inside quotation marks.

Informational analysis for working professionals, not legal advice. Confirm how any rule applies to your situation with qualified counsel.

Related briefings

• Middle East and Africa AI regulation tracker
• Nigeria FCCPC probes Big Tech and AI over news content
• Philippine ad standards body sets AI label rule
• UK ASA on disclosing AI in ads
• AI Regulation News hub