By Martin Ekpeke
The Nigerian Communications Commission (NCC) has issued a strong warning to nine banks, authorizing telecommunications companies to withdraw USSD services due to outstanding debts.
In a public notice dated 15th Day of January 2025 and signed by Reuben Mouka, Director of Public Affairs, the NCC stated that it will allow Mobile Network Operators (MNOs) to disconnect USSD Codes from January 27, 2025, if the affected financial institutions fail to settle outstanding invoices owed to the telcos. This action follows a directive issued in the Second Joint Circular of the Central Bank of Nigeria (CBN) and the NCC dated December 20, 2024, which outlined a framework for settling outstanding payments.
The nine banks facing potential service disruption are Fidelity Bank PLC, First City Monument Bank, Jaiz Bank, Polaris Bank, Sterling Bank, United Bank for Africa, Unity Bank, Wema Bank and Zenith Bank.
The NCC emphasized that these banks have significantly failed to comply with the CBN-NCC directive, some since 2020. This non-compliance also renders them ineligible for the renewal of their USSD Codes.
The Commission has notified the affected banks and will be recovering the USSD Codes to potentially reassign them to other applicants.
This action by the NCC is a significant step in addressing the long-standing issue of unpaid debts owed to telcos by financial institutions for USSD services. The potential disruption of USSD services could significantly impact the ability of customers to access banking services, including mobile money transfers, bill payments, and account inquiries.
The NCC has urged the affected banks to comply with the directive and settle their outstanding invoices to avoid service disruptions for their customers.