Regulator blames misinformation, says service disruptions are operator-driven, not policy
By John Ishaku | Abuja, Nigeria
The Federal Competition and Consumer Protection Commission (FCCPC) has clarified that it has not banned airtime borrowing or data advance services in Nigeria, dismissing widespread reports as false and misleading.
The Commission said ongoing service disruptions are the result of compliance decisions by telecom operators, not regulatory prohibition.
In a statement released on Friday, the FCCPC said it had not issued any directive restricting access to telecom value-added services, including airtime lending and data advance offerings.
The clarification follows confusion triggered by recent regulatory developments under the Digital, Electronic, Online or Non-Traditional (DEON) Consumer Lending Regulations introduced in July 2025.
According to the Commission, the regulations were designed to address rising consumer complaints across the digital lending ecosystem, including opaque pricing, unauthorised deductions, aggressive debt recovery tactics, and weak accountability mechanisms.
Rather than prohibiting services, the FCCPC said the framework mandates operators to comply with stricter standards, including proper registration, transparent disclosure of charges, responsible lending practices, and accessible complaint resolution systems.
The Commission added that the new rules also strengthen data protection safeguards and impose greater accountability on third-party service providers within the telecom value chain.
Service Suspensions Linked to Operator Compliance
The FCCPC stated that any temporary suspension of airtime borrowing or data advance services should be attributed to internal compliance decisions by telecom operators, not regulatory enforcement.
It noted that operators were granted an initial 90-day window to align with the regulations, which was later extended to January 5, 2026. Despite this, some providers failed to regularise their operations within the deadline.
The Commission said attributing service disruptions to a regulatory ban is misleading, given the ample time provided for compliance.
Push for Transparency and Market Competition
The regulator further disclosed that certain operators had engaged in restrictive third-party arrangements that limited competition, in violation of the Federal Competition and Consumer Protection Act, 2018.
It explained that the DEON framework aims to open up the market, encourage fair competition, and ensure that both local and international players can operate under transparent conditions.
The FCCPC also warned against deliberate misinformation campaigns aimed at undermining regulatory reforms, urging the public to rely on verified information.
The clarification addresses growing public concern over access to essential telecom services widely used by millions of Nigerians. It also underscores the regulator’s push to clean up the digital lending space, balancing consumer protection with market competition. The outcome will shape how telecom operators structure credit-based services going forward.
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