Starting Wednesday, June 18, 2025, telecom subscribers in Nigeria will be billed directly by their mobile network providers for using Unstructured Supplementary Service Data (USSD) services.

This update was announced in a joint statement by Mr. Gbenga Adebayo, Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), and the association’s Publicity Secretary, Mr. Damian Udeh.

According to Adebayo, the new billing structure aligns with the Nigerian Communications Commission’s (NCC) 2025 USSD pricing framework, developed in collaboration with the Central Bank of Nigeria (CBN) and other stakeholders.

Under the revised model, mobile network operators will charge subscribers directly for USSD sessions, with N6.98 deducted from their airtime balance for every 120 seconds of use. Users will first receive a prompt to approve the deduction, and charges will apply only to successful sessions.

Adebayo assured that the update would not affect the availability or functionality of USSD banking services. Subscribers can continue using bank USSD codes as long as they have enough airtime.

He highlighted that USSD remains crucial in promoting financial inclusion, particularly among the unbanked and underbanked. However, the previous arrangement—where banks were billed by telecoms—caused disputes over unpaid debts, service interruptions, and customer uncertainty.

To resolve these issues, the NCC introduced the End-User Billing (EUB) model, which allows telcos to charge users directly. Only banks that meet specific regulatory and operational requirements will be allowed to adopt this model.

Adebayo advised subscribers to reach out to their telecom providers for access-related issues and their banks for transaction-related concerns. He also encouraged users to explore other digital banking options like mobile apps, internet banking, and ATMs, which remain fully operational.

He reaffirmed ALTON’s commitment to collaborating with the NCC, CBN, banks, and other stakeholders to ensure a smooth and beneficial transition for all, especially end-users.

The News Agency of Nigeria (NAN) recalls that the shift to this billing method stems from a long-standing N250 billion USSD debt dispute between banks and telecom operators.

In December 2024, the CBN and NCC intervened, directing mobile network operators (MNOs) and deposit money banks (DMBs) to settle the debt. Following telcos’ threats to suspend USSD services, the NCC in January warned of possible disconnections and threatened to publish a list of defaulting banks.

On January 15, the commission ordered telcos to disconnect USSD codes assigned to nine banks by January 27 over unpaid dues. By February 28, MTN Nigeria confirmed it had received N32 billion out of a N72 billion debt from the banks as part payment.