Fidelity Bank Plc, United Bank for Africa Plc, and seven other banks in Nigeria face the risk of losing access to their Unstructured Supplementary Service Data (USSD) codes due to unresolved debts.
The Nigerian Communications Commission (NCC) issued a public notice, signed by its Director of Public Affairs, Reuben Muoka, instructing the affected banks to settle their outstanding debts by January 27, 2025, to avoid disconnection. The NCC highlighted that these banks have not complied with the directives outlined in a joint circular issued by the Central Bank of Nigeria (CBN) and the NCC on December 20, 2024.
According to the NCC, “As of close of business on Tuesday, January 14, 2025, nine out of the 18 financial institutions under review have failed to comply significantly with the directive to settle outstanding invoices owed to Mobile Network Operators (MNOs), some dating back to 2020.”
The commission warned that if the debts remain unpaid, the USSD codes, which are crucial for mobile banking services, could be reassigned to new applicants. This would significantly disrupt banking services for millions of Nigerians who rely on USSD platforms for financial transactions.
The NCC further cautioned consumers, stating, “In line with its consumer protection mandate, the commission informs the public that they may lose access to the USSD platforms of the affected banks from January 27, 2025.”
The total debt initially stood at over ₦200 billion, though the current amount remains undisclosed. While other financial institutions have cleared their debts, these nine banks have yet to do so, raising concerns about the long-standing financial dispute between banks and telecom operators.
USSD services, originally designed for telecom operations, have become indispensable for offline banking, allowing customers to perform financial transactions without internet access. Between January and June 2024, a staggering 252.06 million USSD transactions, valued at ₦2.19 trillion, were conducted, showcasing the platform’s critical role in Nigeria’s financial ecosystem.
However, unresolved issues between banks and telecom operators could disrupt these services, potentially affecting millions of Nigerians.
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