The Nigerian Communications Commission (NCC) is actively engaging with the Central Bank of Nigeria (CBN) to resolve a staggering N250 billion debt related to Unstructured Supplementary Service Data (USSD) usage.
This debt has been accumulating since 2019, following telecom companies' proposal to charge N4.50 per 20 seconds for USSD services a cost increase that banks have resisted, arguing it would inflate transaction costs by 450%.
Dr. Ikechukwu Adinde, the NCC's Director of Consumer Affairs Bureau, expressed optimism about reaching a resolution that would protect the interests of all stakeholders involved. He emphasized the importance of maintaining seamless mobile financial services, which millions of Nigerians rely on daily.
"The NCC remains committed to ensuring that the interests of all stakeholders consumers, telcos, and banks are protected," Adinde stated.
The ongoing dispute poses a risk of disrupting USSD-based banking services, as telecom operators, burdened by unsustainable debt levels, have considered suspending the service pending regulatory approval.
Karl Toriola, CEO of MTN Nigeria, highlighted the potential for disconnection if the debt issue remains unresolved.
In addition to resolving the debt crisis, the NCC is also working on reforms aimed at enhancing tariff transparency within the telecommunications industry.
These changes will require telecom operators to provide consumers with clear and accessible information regarding tariff plans, billing rates, and service terms.
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