USSD: Relief as FG resolves MTN, Banks’ disagreement

MTN USSD channel now available for airtime purchase others

Following the intervention of the two industry regulators the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) in the disagreement between MTN Nigeria and its banking partners the unstructured supplementary service data (USSD) channels services restriction has been unblocked.

Recall that banks restricted MTN customers from purchasing airtime from bank accounts and USSD platform due to a disagreement over profit percentage.

However, at a virtual meeting held yesterday by the chief executive officer of MTN Nigeria, Mr. Karl Toriola; the group CEO of Access Bank Plc, Mr. Herbert Wigwe who is also the chairman of the Body of Bank CEOs in Nigeria; Group CEO of Guaranty Trust Bank Plc, Mr. Segun Agbaje as well as MTN Nigeria’s chief financial officer, Modupe Kadri, they agreed to revert back to status quo of 4.5 per cent commission on USSD airtime.

READ ALSO: USSD: What we know about the MTN, Banks’ disagreement that left millions of customers stranded

According to a letter signed by the MTN CEO, Toriola, and addressed to Wigwe which was a follow-up on the virtual meeting stated that “In an attempt to resolve the current USSD impasse, given the intervention of our regulators, we hereby agree that the banks revert back to the status quo of 4.5 percent commission.

“However, the banks and MTN Nigeria Plc shall sit to agree on various options that will result in the costs on 6th of April 2021.”

The minister of communications and digital economy, Isa Pantami also confirmed the development in a tweet stating that “The services have been restored since early morning, today. Best wishes!”

Meanwhile, while the restriction lasted MTN informed its customers about the new partnership with financial technology companies (Fintechs) as alternative channels for airtime. The alternatives include Flutterwave, JumiaPay, Kuda Carbon, BillnPay, myMTN Web, Mobile money agents, and Opay.