The federal government is set to take decisive action against 18 banks that owe Nigerian telecom operators nearly N200 billion in outstanding Unstructured Supplementary Service Data (USSD) debts.
The government’s move includes plans to authorise telecom operators to suspend USSD services for non-compliant banks if the debt is not settled within two weeks.
The Nigerian Communications Commission (NCC), in collaboration with the Central Bank of Nigeria (CBN), has been instructed to publicly disclose the names of the defaulting banks. This action follows years of unresolved disputes over unpaid USSD charges, which allow customers to carry out mobile banking transactions.
Since 2020, the debt has surged from N40 billion to over N200 billion, despite previous agreements and efforts by regulators to resolve the matter.
Telecom operators have accused the banks of repeatedly breaching repayment terms, with only four banks making partial payments after a December deadline to settle some of the outstanding debt.
Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, recently criticised the banks for impeding efforts to address the issue. He warned that telecom operators may be forced to suspend USSD services, a move that would disrupt online banking for millions of customers who rely on mobile short codes for their transactions.
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