Indications are strong that the Nigerian Communications Commission (NCC) may publish the names of deposit money banks (DMBs) over their N200 billion USSD indebtedness to mobile network operators (MNOs), after several months of intermediation on the settlement of the liability failed to yield the desired results.
Last December, the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) had issued a final directive to DMBs and Mobile Network Operators (MNOs) to resolve the N250 billion USSD debt dispute.
The directive outlined a structured payment plan, which requires the banks to pay 60% of all debts incurred before February 2022 as a full and final settlement. The deadline for finalizing payment agreements was set for January 2, 2025, with complete settlement expected by July 2, 2025.
According to the deal, for debts incurred after February 2022, the banks were also mandated to pay 85% of all outstanding invoices by December 31, 2024, and ensure future invoices are settled within a month of issuance.
In addition, the CBN and NCC directed the discontinuation of all litigation related to the USSD debt and warned that non-compliance would result in severe sanctions.
Following the banks’ failure to comply with the terms of the pact, the MNOs, who have called for a clear payment framework, expressed frustration over the ongoing debt, threatening to suspend USSD services if payments are not made.
While available information indicated that smaller banks have started offsetting their USSD debts the DMBs are yet to fulfill the obligations.
USSD services are vital for financial inclusion in Nigeria, particularly in rural areas with limited internet access. The government’s intervention aimed to stabilize the financial and telecommunications sectors while ensuring the continued availability of these essential services.
