• FCCPC has approved five new firms to provide airtime and data lending services in Nigeria
• The moves came as major telecommunications including MTN, Airtel, Globacom, and 9mobile suspend lending services
• The licensed lenders will partner with telcos for airtime supply and revenue sharing as over 490 digital lenders registered following FCCPC compliance deadline

Nigeria’s telecom landscape is undergoing a shift as the Federal Competition and Consumer Protection Commission (FCCPC) has approved five companies to provide airtime and data lending services, effectively replacing mobile network operators (MNOs) that have stepped back due to regulatory changes.

Major telecom providers including MTN Nigeria and Airtel Nigeria had earlier announced the suspension of their airtime and data credit services.

Further checks confirm that Globacom and 9mobile (now T2) have also halted similar offerings, making it a sector-wide move.

Filling the gap, the FCCPC disclosed that five firms including Total Tim Nigeria Limited, Rane Interractive Medien CLS Limited, Mode NG Applications Limited, Cloud Interractive Associate Limited, and Coverage Broadband Limited, have been cleared to operate as licensed airtime and data lenders.

According to the Commission, these firms satisfied all requirements under the Digital, Electronic, Online, or Non-Traditional Consumer Lending Regulations, 2025.

The regulation aims to improve transparency, fairness, and competition within Nigeria’s growing digital lending ecosystem.

Providing insight into the regulatory action, Ondaje Ijagwu, Director of Corporate Affairs at the Nigeria Data Protection Commission, said some telecom operators had violated existing laws.

“Engaging in exclusionary third-party technical arrangements in clear disobedience to the provisions of the Federal Competition and Consumer Protection Act, 2018.”

He explained that the new framework was designed to open the market:

“The Regulations sought to unlock the market to allow local participants alongside foreign partners, in line with free market principles,”

Ijagwu added that operators were initially given time to comply:

“That opportunity was not utilised within the prescribed timeframe, specifically in the telecom sector.

“The compliance window was subsequently extended until 5 January 2026, providing additional time for alignment with applicable requirements. Despite that further extension, the necessary compliance steps were still not completed by the relevant operators,”

Telcos push back

Telecom operators argue that the new requirements add to an already complex regulatory environment dominated by the Nigerian Communications Commission.

An industry insider noted:

“Telcos are enablers of other sectors and we are fully regulated by the Nigerian Communications Commission (NCC). Subjecting us to all forms of compliance from different regulators is a distraction,”

On when services might resume, the official said:

“For now, we just want to step aside and watch.”

Despite stepping back, telcos are not entirely out of the loop. They will still supply airtime to the licensed lenders through partnership agreements that involve revenue sharing.

Subscribers feel impact

While operators may lose some income, subscribers appear to be bearing the brunt of the disruption. The popular *303# code used for emergency airtime borrowing is no longer functional.

Many Nigerians who rely on these services for urgent communication needs have expressed concern.

Seun Adeleke, a Lagos resident, said the service was a crucial safety net, especially in cash-strapped moments. He warned that its suspension could worsen financial strain for everyday users.

Another subscriber, Rachael Oluwajoba, described the situation as a major setback, noting that many people could be left stranded without quick access to airtime during emergencies.

In a notice to customers and shareholders, MTN Nigeria confirmed the temporary halt of its “Extratime” service:

“This relates to the implementation of processes under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduced a new compliance and licensing framework for entities providing digital or non-traditional consumer credit services,”

The company assured users that alternative channels for airtime and data purchases remain available and emphasised that the suspension is unlikely to significantly impact earnings.

Similarly, Airtel Nigeria reiterated that customers can still purchase airtime and data without disruption and that service quality nationwide remains unaffected.

The FCCPC had earlier set October 31, 2025, as the deadline for all digital lenders to register or risk a N100 million penalty. This triggered a surge in registrations, with the number of licensed lenders rising to 492 by October.

The deadline was later extended to January 5, 2026, to allow for full compliance, yet telecom operators failed to meet the requirements, leading to the current shift in service provision.

FCCPC dismisses airtime borrowing ban claims, cites non-compliance by telcos

Meanwhile, TheRadar earlier reported that the Federal Competition and Consumer Protection Commission had denied reports that it banned airtime borrowing and data advance services in Nigeria.

The Commission said claims circulating online and in some media reports are false and misleading. The Director of Corporate Affairs, Ondaje Ijagwu, the FCCPC said it never directed telecom operators to stop offering the services.

FCCPC blamed operators for failing to meet Consumer Lending Regulations introduced in July 2025.