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FG Mum as Telcos Threaten to Disconnect Banks from USSD Services over N250Bn Debt

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Federal government has failed to intervene in the unstructured supplementary service data (USSD) debt crisis between the telecom operators and the financial banks in the country.

FG Mum as Telcos Threaten to Disconnect Banks from USSD Services over N250Bn Debt

Karl Toriola, chief executive officer (CEO), MTN Nigeria, said the banks might be disconnected from the USSD platform due to debt arising from the use of the quick codes by their customers, which has now reached N250 billion.

USSD, also known as quick or feature codes, is a global system for mobile communications (GSM) protocol that is used to send text messages and initiate financial transactions such as cash transfers, balance inquiries, payments for services and others.

As at Tuesday, Dr. Bosun Tijani, minister of Communications and Digital Economy, and the Nigerian Communications Commission (NCC) were taciturn.

But Toriola said mobile network operators (MNOs) might, subject to regulatory approval, suspend supporting the use of the service on the network for banking operations, as the debt had continued to pile up and was becoming unsustainable to the operators.

According to Toriola, the increasing debt is unsustainable for telecommunications companies (telcos).

Also speaking, Engr. Gbenga Adebayo, chairman, Association of Licensed Telecom Operators of Nigeria (ALTON), described the services provided by telecommunication firms for banks’ customers to use USSD as commercial and not for social purpose

“The debt has been long overdue and the banks who owe the telcos have more or less turned us to beggars on getting them to pay our debt, so there is no choice. If the regulators do not resolve the matter, what has been foreseen will happen, the services will be withdrawn. We are leaving to the CBN to resolve, if it is not able to resolve this matter, there will be no choice than to withdraw USSD from the banks,” he added.

Deolu Ogunbanjo, a telecom right activist, said Nigerian telecoms’ subscribers should sue the banks if they couldn’t use the USSD for their banking transactions by May ending, according to Daily Trust.

Ogunbanjo, who is the president of the National Association of Telecom Subscribers of Nigeria (NATCOMS), said the telcos wouldn’t be doing anything wrong if they eventually disconnect the banks.

Recall that in 2019, telcos sought to charge banks N4.50 for every 20 seconds of USSD usage, but banks opposed this, claiming it would drastically hike transaction costs.

In response to mounting pressures, the operators previously agreed to a new charge of N6.98 per transaction in 2021.

Despite this, the debt has escalated significantly, with Toriola urging the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) to mediate for a resolution.

He emphasized that if the situation remains unresolved, telcos may have no choice but to seek regulatory approval to cut off banks from USSD services entirely.

Toriola lamented that the telecom sector is in critical condition, likening it to being in the “intensive care unit.”

He warned of dire consequences if the government does not allow necessary tariff adjustments, stating, “If the tariff doesn’t go up, we’ll shut down.”

 


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MTN Says New N6.98 USSD Charge Won’t Affect Airtime Recharge

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Lynda Saint-Nwafor, chief Enterprise business officer, MTN Nigeria, has assured the network subscribers that the new end-user billing system for the use of USSD services will jot affect them.

MTN Says New N6.98 USSD Charge Won’t Affect Airtime Recharge

USSD, otherwise Unstructured Supplementary Service Data codes are commonly used for banking transactions, airtime recharges, and other mobile services.

The telco said that  there is no significant impact or change other than the fact that they will now pay the same N6.98 per session (120 seconds) with their airtime instead of direct bank debit.

Saint-Nwafor, said this during a chat with MTN MIP fellows, explaining that the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) have ordered telecom operators to ensure that the new billing model resolves trust issues and ensures transparency in the billing process.

“Our regulator insisted that at the end of every month, we are going to be providing history and statistics on the performance of the service across the board”, she explained.

Saint-Nwafor added that the new billing model has standardized messaging across all operators and ensures consistent communication with customers.

“We will take all the error codes and map them into messages that are standardised across the board. So, if you initiate a transaction, you will know if it is failing. And, when the transaction fails, you will know if it is from your bank or the telco,” she explained.

 


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Crypto Scam Unmasked: U.S. Recovers Record $225m in Global Fraud Bust

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The U.S. government has recovered $225 million in what is now the largest seizure of funds linked to a cryptocurrency investment scam.

In a statement released Wednesday, June 18, the U.S. Attorney’s Office said the recovery followed an extensive investigation by the FBI and the U.S. Secret Service, using blockchain analysis and other forensic tools. The statement did not confirm whether any arrests had been made.

According to the authorities, the stolen funds originated from fraudulent cryptocurrency investment schemes that tricked victims into believing they were making legitimate investments. More than 400 individuals around the world, including dozens in the United States, were reportedly affected.

The operation involved a sophisticated money laundering network that carried out hundreds of thousands of blockchain transactions to obscure the source and ownership of the stolen assets.

“These scams prey on trust, often resulting in extreme financial hardship for the victims,” said Shawn Bradstreet, Special Agent in Charge at the U.S. Secret Service office in San Francisco.

Bradstreet added that U.S. officials hope the recovered funds can eventually be returned to the rightful victims.

Cryptocurrency investment fraud accounted for over $5.8 billion in reported losses in 2024 alone, according to the statement.


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Nnaemeka Ani Calls on African Techies to Rewrite the Narrative

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Hon. Nnaemeka Ani
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In a rousing declaration that is electrifying minds across the continent, Hon. Nnaemeka Ani, Special Adviser on ICT to Enugu State Governor, Dr. Peter Mbah, has called for a homegrown digital revolution under the banner “Africa Will Rise: By Code, By Courage, By Us.”

Hon. Nnaemeka Ani

The message, part challenge, part philosophical—seeks to galvanize African innovators to move beyond buzzwords and build technology with impact and legacy in mind.

“Let’s stop building for hype. Let’s start building for legacy,” Ani urged while speaking to ICT journalists over the weekend. “Let’s stop waiting for someone else. Let’s start creating the future—on our own terms.”

At the heart of Ani’s vision is a shift from tech consumerism to tech authorship. With innovation hubs sprouting across cities like Enugu, Lagos, Kigali, Jo’Burg, and Nairobi, and a growing community of developers, engineers, and entrepreneurs determined to solve Africa’s unique challenges, the movement is already taking shape.

Ani emphasized that Africa’s future lies not in flashy apps or international admiration but in persistent, intentional solutions that uplift communities—solutions that digitize public services, bridge rural-urban divides, empower women and youth, and build resilience in food and climate systems.

“We have the talent,” he said. “Now it’s time to harness it—to stop building for likes and start building for lasting impact.”

With support from leaders like Ani and rising momentum in Africa’s tech corridors, it seems that a new chapter is being written—one line of code at a time.


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