N300bn Cleared as Nigerian Banks End 4-year USSD Debt Crisis with MTN, Airtel, Others
Nigerian banks and telecom operators have resolved a four-year dispute over N300 billion in USSD charges, transitioning to an end-user billing model.Summary
Nigerian commercial banks and telecom operators have finally settled a four-year dispute regarding N300 billion in unpaid USSD charges. The resolution, facilitated by the Nigerian Communications Commission (NCC), involves a full debt clearance and a shift to an end-user billing system where transaction fees are deducted directly from customers’ mobile airtime. The crisis stemmed from disagreements over cost-sharing for USSD services, with telecom firms initially proposing charges for usage that banks opposed. Despite an agreement in 2021 to charge N6.98 per transaction, the debt continued to accumulate, reaching between N250 billion and N300 billion in 2024. The NCC intervened, threatening to reclaim shortcodes from defaulting banks, ultimately leading to the adoption of the end-user billing framework between June 3 and June 18, 2025, after initial partial repayments of N171 billion. This new system aims to create a more sustainable and transparent payment system for USSD transactions.
(Source：Legit Nigeria)