USSD Services: Telcos to charge subscribers directly from June 18
By Funmilola Gboteku
Telecom subscribers in Nigeria will now be charged directly by their mobile network operators for Unstructured Supplementary Service Data (USSD) services, starting Wednesday, June 18, 2025.
This was made known in a statement signed by Mr Gbenga Adebayo, the Chairman, Association of Licensed Telecommunications Operators of Nigeria (ALTON), and the Publicity Secretary, Mr Damian Udeh.
According to Adebayo, the change is in line with the Nigerian Communications Commission’s (NCC) determination of USSD pricing and services, developed in collaboration with the Central Bank of Nigeria (CBN) and other stakeholders.
The ALTON boss said the new billing model would allow mobile network operators to charge customers directly for USSD sessions, with charges deducted from airtime balance at N6.98 per 120 seconds.
He noted that customers would receive a prompt to opt-in and approve the charge before deduction, and billing would only occur for successful sessions.
Adebayo assured that the change would not affect USSD banking services’ availability or functionality, and customers could continue using bank USSD codes with sufficient airtime.
“USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations.
“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.
“To address these challenges, the NCC’s 2025 determination introduced the End-User Billing (EUB) model, which allows mobile network operators to charge customers directly for USSD sessions.
“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 said.
Adebayo advised customers to contact their mobile network operator for access issues and banks for transaction-related issues.
“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.
Adebayo reiterated ALTON’s commitment to working closely with the NCC, CBN, financial institutions, and stakeholders to ensure a seamless, equitable, and beneficial transition for all parties, especially end-users.
The News Agency of Nigeria (NAN) reports that the new method was adopted as a result of Nigerian banks and telcos having a running battle over USSD debt.
To resolve the matter, in December 2024, the Central Bank of Nigeria (CBN) and the NCC directed mobile network operators (MNOs) and DMBs to resolve the long-standing N250 billion USSD debt.
Following threats by telcos to withdraw services over the debt accumulated by banks, the NCC, in January, threatened to suspend the USSD service and publish a list of banks still owing telcos.
On January 15, the regulator directed telcos to disconnect the USSD codes assigned to nine banks by January 27 due to unpaid debts.
On February 28, MTN Nigeria said it received N32 billion out of N72 billion from banks as part payment for the USSD debt. (NAN)(www.nannews.ng)
Edited by Christiana Fadare
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