News Highlights:
- Airtel Nigeria and MTN Nigeria have temporarily suspended their airtime and data credit services to comply with new FCCPC regulations on digital lending and consumer credit.
- Both telecom operators assured customers and investors that the suspension will not materially impact service delivery or revenue, with alternative recharge channels remaining fully available.
Two of Nigeria’s leading telecommunications operators, Airtel Nigeria and MTN Nigeria, have announced the temporary suspension of their airtime and data credit advance services as they move to comply with evolving regulatory requirements governing digital lending.
The affected services, which previously allowed eligible prepaid customers to borrow airtime or data and repay on their next recharge, have been put on hold pending alignment with new compliance frameworks introduced by the Federal Competition and Consumer Protection Commission (FCCPC).
MTN Nigeria disclosed the suspension of its credit service, known as Xtratime, in a statement signed by its secretary, Uto Ukpanah, and posted on the Nigerian Exchange Limited on Thursday.
“MTN Nigeria Communications PLC (MTN Nigeria or the Company) hereby notifies the Nigerian Exchange Limited and the investing public that the Company has temporarily suspended its airtime and data credit advance service (‘Xtratime’).
“This relates to the implementation of processes under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduced a new compliance and licensing framework for entities providing digital or non-traditional consumer credit services,” the statement read.
The FCCPC had expanded its 2025 regulations on digital lending to cover telecom operators and other providers of short-term credit, including airtime and data advance services, requiring them to register and obtain approval to continue operations.
Building on its 2022 framework, the updated rules introduce stricter oversight, with transitional compliance deadlines leading to full registration by April 2026.
This regulatory shift reflects growing concerns over consumer debt, data privacy, and lending practices within Nigeria’s rapidly expanding digital credit ecosystem.
Similarly, Airtel Nigeria confirmed the temporary suspension of its airtime and data credit services, noting that the move aligns with evolving regulatory expectations. Despite the pause, the company assured customers of uninterrupted access to regular airtime and data purchase channels.
Commenting on the development, Airtel Nigeria’s Director of Marketing, Ismail Adeshina, said: “This is a necessary and responsible step as we align our operations with evolving requirements. Airtel Nigeria remains committed to the highest standards of compliance, transparency, and consumer protection, while continuing to innovate responsibly within Nigeria’s digital ecosystem.”
Both operators emphasized that the suspension will not materially impact their overall service delivery or revenue outlook. MTN, in particular, reassured investors of minimal financial implications.
“In the interim, customers continue to have access to alternative digital channels for airtime and data purchases.
“Given the scale within the revenue mix, we do not expect the temporary suspension to have a material impact. We are closely monitoring customer behaviour and usage trends and will provide an update on any quantified impact in our Q1 2026 results,” the statement read.
Customers of both networks are advised to utilize existing recharge and data purchase platforms while the companies work towards meeting the new regulatory and licensing requirements.
Both Airtel and MTN said they will provide further updates as the situation evolves.