Telecom subscribers in Nigeria will now be charged directly by their mobile network operators for Unstructured Supplementary Service Data services, starting Wednesday, June 18, 2025.
The Association of Licensed Telecommunications Operators of Nigeria announced the change in a statement signed by its Chairman, Mr. Gbenga Adebayo, and Publicity Secretary, Mr. Damian Udeh.
According to Adebayo, the new billing model aligns with the Nigerian Communications Commission’s USSD pricing framework, developed in collaboration with the Central Bank of Nigeria and other stakeholders.
Under the new system, mobile network operators will charge customers N6.98 per 120-second USSD session, deducting the fee directly from their airtime balance. Customers will receive an opt-in prompt before any deduction, and billing will only apply for successful sessions.
Adebayo assured that the change would not disrupt USSD banking services, as users can continue accessing bank codes with sufficient airtime.
“USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations,” Adebayo said. “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.”
He explained that the NCC’s 2025 determination introduced the End-User Billing model to resolve these issues, allowing telecom operators to charge users directly.
“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,” he added.
Adebayo advised subscribers with access issues to contact their mobile network providers, while transaction-related concerns should be directed to banks.
“To ensure a smooth transition, we urge subscribers to follow support guidelines. Alternative digital banking channels such as mobile apps, internet banking, and ATMs remain fully operational,” he said.
ALTON reiterated its commitment to collaborating with the NCC, CBN, financial institutions, and stakeholders to ensure a seamless transition.
The policy shift follows a protracted dispute between Nigerian banks and telecom operators over unpaid USSD fees, which reportedly reached N250 billion by 2024. In December 2024, the CBN and NCC intervened, mandating mobile network operators and deposit money banks to resolve the debt crisis.
After telcos threatened service withdrawal, the NCC in January 2025 warned of suspending USSD services and publicly naming defaulting banks. On January 15, the regulator ordered telecom firms to disconnect nine banks’ USSD codes by January 27 over unpaid debts. By February 28, MTN Nigeria confirmed receiving N32 billion of the N72 billion owed by banks as partial settlement.
The new direct billing system aims to prevent future disputes while ensuring uninterrupted USSD services for millions of Nigerian subscribers.