Telecom subscribers in Nigeria will now face direct charges from their mobile network operators for Unstructured Supplementary Service Data (USSD) services, effective Wednesday, June 18, 2025.
This information was disclosed in a statement signed by the Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, along with the Publicity Secretary, Damian Udeh.
As stated by Adebayo, this adjustment aligns with the Nigerian Communications Commission’s (NCC) guidelines on USSD pricing and services, which were developed in partnership with the Central Bank of Nigeria (CBN) and other relevant stakeholders.
The ALTON chairman indicated that the new billing structure would enable mobile network operators to directly charge customers for USSD sessions, with fees deducted from their airtime balance at a rate of ₦6.98 for every 120 seconds.
He emphasised that customers would receive a notification to opt in and consent to the charge prior to any deduction, and billing would only take place for sessions that are successfully completed.
Adebayo reassured that this change would not impact the availability or functionality of USSD banking services, allowing customers to continue utilising bank USSD codes as long as they have sufficient airtime.
“USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations.
“However, the previous corporate billing model, where banks were billed by telecom operators, led to prolonged disputes over unpaid charges, service interruptions and uncertainty for customers.
“To address these challenges, the NCC’s 2025 determination introduced the End-User Billing (EUB) model, which allows mobile network operators to charge customers directly for USSD sessions.
“To achieve the implementation of the EUB model, the CBN and NCC have stipulated that only banks that meet certain regulatory and operational conditions are permitted to migrate,” Adebayo noted.
He urged customers to contact their mobile network operator for access issues and banks for transaction-related issues.
“To ensure a smooth transition, we urge subscribers to follow support guidelines, and alternative digital banking channels such as mobile apps, internet banking, and ATMs remain fully operational,” he said.
Adebayo emphasised ALTON’s dedication to collaborating closely with the NCC, CBN, financial institutions, and stakeholders to facilitate a smooth, fair, and advantageous transition for all involved, particularly end-users.
Naijaonpoint reports that this new approach was implemented due to ongoing disputes between Nigerian banks and telcos regarding USSD debt.
To address this issue, in December 2024, the Central Bank of Nigeria (CBN) and the NCC instructed mobile network operators (MNOs) and Deposit Money Banks (DMBs) to settle the longstanding ₦250 billion USSD debt.
In response to threats from telcos to cease services over the debts incurred by banks, the NCC, in January, warned of the potential suspension of USSD services and indicated plans to publish a list of banks that still owe telcos.
On January 15, the regulator mandated telcos to disconnect the USSD codes linked to nine banks by January 27 due to outstanding debts.
On February 28, MTN Nigeria announced that it had received ₦32 billion out of ₦72 billion from banks as a partial payment towards the USSD debt.