The Nigerian Communications Commission (NCC) has issued a stern warning to nine financial institutions, authorizing telecommunications companies to disconnect their Unstructured Supplementary Service Data (USSD) codes if outstanding debts are not settled by January 27, 2025.
The directive, signed by the NCC’s Director of Public Affairs, Reuben Muoka, states that these banks have failed to comply with regulatory requirements to pay off significant debts owed to Mobile Network Operators (MNOs). Although the NCC did not disclose the specific amount owed, reports indicate that the total debt across the affected banks exceeds N200 billion, with some invoices dating back to 2020.
The affected banks are Fidelity Bank Plc, First City Monument Bank, Jaiz Bank Plc, Polaris Bank Limited, Sterling Bank Limited, United Bank for Africa Plc, Unity Bank Plc, Wema Bank Plc, and Zenith Bank Plc. While other financial institutions have cleared their dues, the nine listed banks have not yet settled their obligations despite multiple reminders.
According to a public notice from the NCC, these banks have failed to adhere to the Second Joint Circular issued by the Central Bank of Nigeria (CBN) and the NCC on December 20, 2024. This circular stipulated the urgent need to clear outstanding debts owed to MNOs for the continuation of USSD services. The notice warns that if the debts are not cleared by the deadline, the affected USSD codes, including 770, 919, and 822, will be reassigned to other applicants.
The NCC has emphasized that these banks’ failure to pay will also prevent them from meeting the “good standing” requirements necessary for the renewal of their USSD codes. Consumers of these financial institutions may face disruptions in accessing mobile banking services via USSD after January 27, 2025, should the banks fail to comply.
The NCC has previously notified the affected banks, stressing that the resolution of this issue is crucial for both the institutions and their customers. Mobile banking through USSD is a vital service in Nigeria, with over 252 million transactions worth N2.19 trillion recorded between January and June 2024 alone.
The regulator’s move highlights the growing tension between telecom providers and financial institutions over outstanding payments, with significant implications for consumers who rely on USSD for quick and accessible financial transactions.
