Smaller banks are partially repaying telecom operators in Nigeria for the N250 billion debt associated with Unstructured Supplementary Service Data services.
The majority of the tier-one lenders, however, have not yet made any sizable payments to settle the debt.
Gbenga Adebayo, the chairman of the Association of Licensed Telecom Operators of Nigeria, disclosed this to the Punch on Thursday, November 21, 2024.
Although some repayments have been documented, he noted that they do not meet expectations.
Adebayo emphasized that the CBN and NCC must work together to protect the financial and telecommunications industries.
Recall that mobile operators have threatened to stop USSD services due to outstanding charges, but these actions were halted after government officials intervened.
This comes after a protracted disagreement over USSD service fees between banks and telecom providers. Following regulatory permission, telecom companies started charging N6.98 per transaction in 2021.
TimesNow.com.ng earlier reported that telecommunications companies requested regulatory authority from the Nigerian Communications Commission to remove Unstructured Supplementary Service Data services (USSD) from Nigerian banks, according to the Association of Licensed Telecommunications Operators of Nigeria (ALTON).
According to ALTON, the banks owe more than N250 billion for services rendered during the previous six years.
Because it doesn’t require an internet connection, the USSD service, which offers airtime and subscription services, has been embraced by the banking industry.
Proofreading by James, Ojo Adakole, journalist and copy editor at TimesNow.com.ng.
Source: TimesNow.com.ng
