NCC Directs Telcos To Disconnect UBA, FCMB, Others Over USSD Debt
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The Nigerian Communications Commission (NCC) has authorized telecommunications companies to disconnect the Unstructured Supplementary Service Data (USSD) codes assigned to United Bank for Africa (UBA), First City Monument Bank (FCMB), and seven other financial institutions over a backlog of unpaid debts.
This directive, signed by NCC’s Director of Public Affairs, Reuben Muoka, on Tuesday and obtained by Channels Television, mandates the affected banks to settle their outstanding debts by January 27, 2025, or risk losing access to their USSD codes.
Although the NCC did not disclose the exact amount of debt owed by the nine financial institutions, it revealed that the total amount initially owed by all 18 financial institutions exceeded N200 billion, with some invoices remaining unpaid since 2020. According to the commission, nine out of the 18 banks have yet to comply significantly with the regulatory directives issued in a Second Joint Circular from the Central Bank of Nigeria (CBN) and NCC on December 20, 2024.
“By the information made available to the commission as at close of business on Tuesday, 14th January 2025, of a total of 18 financial institutions, the nine institutions listed below have failed to comply significantly with the directives in the Second Joint Circular of the Central Bank of Nigeria and the commission dated December 20, 2024, for the settlement of outstanding invoices due to MNOS, some since 2020,” the NCC stated in a public notice.
The affected financial institutions include Fidelity Bank Plc, First City Monument Bank, Jaiz Bank Plc, Polaris Bank Limited, Sterling Bank Limited, United Bank for Africa Plc, Unity Bank Plc, Wema Bank Plc, and Zenith Bank Plc.
The affected USSD codes, such as 770, 919, and 822, among others, could be reassigned to other applicants if the debts remain unpaid. The NCC emphasized that banks failing to comply with the joint circular also risk being unable to meet the good standing requirements for the renewal of their USSD code assignments.
The NCC warned that consumers might face service disruptions if the debts are not settled. “In fulfilment of its consumer protection mandate, the commission wishes to inform consumers that they may be unable to access the USSD platform of the affected financial institutions from January 27, 2025,” it stated.
Meanwhile, data from the CBN revealed that 252.06 million transactions worth N2.19 trillion were conducted via USSD between January and June 2024.
