Telecommunications companies in Nigeria have warned they may stop supporting USSD banking services if banks continue to misinform customers about billing practices. Operators involved include MTN, Airtel, Globacom, and 9Mobile.
This development followed a message banks sent to customers stating that, from June 3, 2025, charges for USSD transactions would no longer be taken from bank accounts. Instead, the charges would be deducted from users’ mobile airtime. Banks claimed this move was based on a directive from the Nigerian Communications Commission (NCC), aligning with the End-User Billing (EUB) model.
According to the banks’ notice, users will now pay ₦6.98 for every 120-second USSD session, with charges applied only after users give consent and if the bank is available to complete the transaction. Users were also informed they could opt out of using USSD banking if they did not agree with the new arrangement.
Telecom operators, under their association ALTON (Association of Licensed Telecom Operators of Nigeria), said the banks’ notice was misleading and failed to reflect the actual agreement reached. ALTON’s chairman, Engr. Gbenga Adebayo clarified that the NCC did not issue any directive on this change. Instead, it was a joint decision between the NCC and the Central Bank of Nigeria (CBN), with input from both the telecom and banking sectors.
According to Adebayo, the agreement allowed banks to switch to the EUB model only after settling all outstanding USSD debts by June 2, 2025. The purpose of the agreement was to ensure customers are not charged twice—once by airtime and again from their bank accounts—for the same service.
While a few banks have paid what they owe, most have yet to clear their debts. As a result, telcos say it’s premature to move forward with the new billing system. Adebayo added that if banks continue to misrepresent the terms and delay payment, telecom operators may have no choice but to suspend USSD services.
He emphasized that the USSD channel is not a mandatory service and that banks could explore alternatives if they fail to meet their obligations.
