Telecommunication operators in Nigeria, including MTN and Airtel, have announced plans to disconnect Unstructured Supplementary Service Data (USSD) services for 18 banks due to an outstanding debt of ₦250 billion.
USSD services are crucial for financial transactions such as fund transfers, bill payments, and airtime recharges, especially for individuals without internet access. The planned disconnection could significantly impact banking operations and customer access to essential services.
The Nigerian Communications Commission (NCC) has reportedly authorized the telcos to proceed with the disconnection, following unsuccessful attempts to resolve the debt issue. The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has expressed concerns over the banks’ refusal to remit commissions to the telcos, despite the USSD charges imposed on customers.
This development is part of an ongoing dispute between banks and telcos over USSD service charges. In 2021, telcos threatened to suspend USSD services over a ₦42 billion debt accumulated by banks. Although a temporary resolution was reached, the debt has since escalated, leading to the current situation.
The disconnection is scheduled to take effect in two weeks, unless the banks settle the outstanding debts. This move could disrupt financial services for millions of Nigerians who rely on USSD codes for banking transactions.
Peoplesmind
