The Nigerian Communications Commission (NCC) and the Central Bank of Nigeria (CBN) have issued a deadline of July 5, 2025, for Deposit Money Banks (DMBs) and Mobile Network Operators (MNOs) to settle the ₦250 billion Unstructured Supplementary Service Data (USSD) debt.
In a joint circular titled, “2nd Joint Circular of the Central Bank of Nigeria and the Nigerian Communications Commission on the Resolution of the USSD Debt Issue Between Deposit Money Banks and Mobile Network Operators,” both regulators outlined measures to resolve the protracted dispute between the financial and telecommunications sectors.
The circular, signed by Oladimeji Taiwo, Acting Director of Payments System Management at the CBN, and Chizua Whyte, Head of Legal and Regulatory Services at the NCC, mandated DMBs to settle 60% of all outstanding pre-API invoices by January 2, 2025, and complete payments by July 2, 2025. Additionally, 85% of post-API invoices must be cleared by December 31, 2025.
The regulators also directed that all litigation related to the USSD debt be halted, emphasizing the use of Alternative Dispute Resolution (ADR) mechanisms. Non-compliance with these directives will attract sanctions, the specifics of which remain undisclosed.
Stakeholders have welcomed the directive, but some have criticized the lack of firm penalties, suggesting that withholding USSD deductions by banks constituted unethical practices.
To improve customer experience, MNOs have been instructed to adopt a “10-second rule” for USSD billing, exempting sessions lasting under 10 seconds from charges. Furthermore, the circular introduced a transition to the Enhanced USSD Billing (EUB) system for compliant institutions.
The NCC and CBN also announced plans for public awareness campaigns to educate subscribers on the transition to the EUB framework. The initiative aims to enhance transparency and foster collaboration between the financial and telecom sectors for better service delivery.
