Telecoms operators vow To Shutdown Banks’ USSD Services

Telecoms operators vow To Shutdown Banks’ USSD Services

The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has warned that it might disconnect banks across the country from accessing the Unstructured Supplementary Service Data (USSD) over rising debt.

THECONSCIENCEng reports that the Members of ALTON include MTN Nigeria, Airtel, Glo and 9Mobile, and other telecoms operators.

Some banks and the Telecom operators disagreed last year after the network providers threatened to prevent bank customers from accessing the USSD platform.

The disagreement was settled after the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) intervened in the matter.

A meeting between stakeholders the two industries’ stakeholders led to an increase in the USSD bank charge to N6.98 per transaction effective from March 16, 2021.

ALTON Chairman, Gbenga Adebayo, who spoke at the ICT Growth Conference in Lagos on Thursday, September 29, said the debt owed by the banks to the telecommunications companies has increased from N42 billion in 2021 to N80 billion in 2022

Adebayo said the debt arose from the USSD services the telecoms firms provide to the banks.

He said the banks have refused to pay commission to the telecoms even after charging their customers for using their USSD platforms.