Airtel Nigeria Suspends Airtime and Data Borrowing Services
Airtel Nigeria has announced the temporary suspension of its airtime and data credit services, a move driven by new regulatory requirements governing digital lending in the country. This development was confirmed in a statement issued on Friday and signed by the company's Director of Corporate Communications and CSR, Femi Adesina, as reported by PUNCH.
Impact on Prepaid Subscribers
The affected services previously enabled eligible prepaid subscribers to borrow airtime or data, with repayment due upon their next recharge. Airtel has assured customers that they can still purchase airtime and data through its existing platforms, and service delivery across its network will not be disrupted. The suspension is linked to the implementation of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduce a licensing and compliance framework for providers of digital credit services, including airtime and data advance offerings.
MTN Nigeria Follows Suit
This action by Airtel follows a similar announcement by MTN Nigeria Communications Plc, which recently suspended its Xtratime service that allows subscribers to borrow airtime or data. In a communication to investors, MTN noted that the pause is not expected to significantly affect its earnings, as the service contributes a relatively small portion to overall revenue. The company added that it will provide further updates in its first quarter 2026 financial results.
Industry Compliance and Regulatory Framework
Commenting on Airtel's decision, the company's Director of Marketing, Ismail Adeshina, stated that the step was necessary to meet regulatory expectations. He emphasized that Airtel remains committed to compliance, transparency, and consumer protection while operating within Nigeria's evolving digital ecosystem. The actions by both Airtel and MTN suggest a wider industry response, as telecom operators work to align with updated rules aimed at strengthening oversight of digital lending services.
The regulations were introduced by the Federal Competition and Consumer Protection Commission (FCCPC) as part of efforts to build on earlier digital lending guidelines issued in 2022. Under this framework, all digital lenders, including telecom operators offering airtime or data advances, are required to register with the commission. FCCPC Chief Executive Officer, Tunji Bello, had earlier stated that operators given transitional approval must complete their registration by April 2026 or risk further regulatory action.
Compliance Deadlines and Industry Data
The commission initially set an October 31, 2025, deadline for compliance, with a N100 million penalty for defaulters. This deadline was later extended to January 5, 2026, to allow more time for companies to meet the requirements. Industry data showed that the number of registered digital lenders rose significantly during the compliance period, reaching 492 by October 2025.
Legal Challenges and Court Ruling
In a related development, a Federal High Court in Lagos has issued a ruling restraining the FCCPC from enforcing parts of its digital lending regulations. The suit was filed by the Wireless Application Service Providers Association of Nigeria. Justice Ambrose Lewis-Allagoa adjourned the case, asking the commission to maintain the status quo and halt proposed sanctions. This legal challenge adds complexity to the regulatory landscape as telecom operators navigate compliance requirements.
