If you’ve ever relied on USSD codes to check your bank balance, transfer money, or pay bills, you might want to pay attention. The Nigerian Communications Commission (NCC) has approved the disconnection of USSD services for nine banks over unpaid debts owed to mobile network operators (MNOs). This move could disrupt millions of Nigerians’ access to quick banking services, and it all boils down to years of unresolved disputes between the telcos and banks.
What’s Happening?
The NCC announced that nine commercial banks, including Zenith Bank, UBA, and Polaris Bank, risk losing access to their USSD platforms. The telecom operators—MTN, Airtel, Globacom, and 9mobile—claim the banks owe them for USSD services, debts that reportedly date back as far as 2020. The total outstanding debt? A staggering ₦120 billion as of 2023.
For context, USSD codes are the backbone of Nigeria’s digital banking revolution. They allow users without internet access to perform transactions by simply dialing a code. If the disconnection goes ahead, customers of these banks will be unable to use this service, forcing them to rely on alternative, often less convenient, banking methods.
Two Weeks to Comply
The NCC has given the banks a two-week ultimatum, ending on January 27, 2025, to settle their debts. If they fail to comply, the affected USSD codes will be disconnected, and the NCC may reassign them to other applicants. This action, according to the NCC, is in line with their consumer protection mandate and the Guidelines on Short Code Operation in Nigeria, 2023.
How Did We Get Here?
This isn’t the first time MNOs have threatened to disconnect banks over unpaid USSD bills. For years, the telcos have complained about the debt, with little action taken. The turning point came in December 2024, when the NCC and the Central Bank of Nigeria (CBN) issued a joint circular mandating the banks to pay a percentage of their debts and agree to a repayment plan. Despite this, nine banks remain significantly non-compliant.
The NCC also noted that failure to settle these debts disqualifies the banks from meeting the Good Standing requirements necessary for the renewal of their USSD codes.
What Does This Mean for You?
If you’re a customer of one of the affected banks, this could disrupt how you perform basic transactions. While mobile apps and internet banking may still work, those who rely on USSD—especially in areas with limited internet access—could face major inconveniences.
What’s Next?
The ball is now in the banks’ court. If they fail to comply within the given timeframe, the disconnection will proceed. For customers, the best course of action is to stay informed and explore alternative banking options in case of disruptions.
This development highlights the importance of regulatory oversight in ensuring fair play between industries, but for now, the focus remains on whether the banks will clear their debts and keep their USSD services running. Keep an eye on this space—it’s a story that affects millions of Nigerians.
