NCC Mandates Telcos to Sever USSD Connections for Nine Banks Over Longstanding Arrears

Amid unresolved debts dating back several years, the Nigerian Communications Commission (NCC) has issued a directive permitting telecom operators to deactivate Unstructured Supplementary Service Data (USSD) access for nine financial institutions.
The announcement, signed by Reuben Muoka, NCC’s Director of Public Affairs, and disclosed on Tuesday, stipulates that the implicated banks must settle outstanding obligations by January 27, 2025. Failure to comply will result in the permanent withdrawal of their assigned USSD codes.
While the NCC refrained from specifying the exact amount owed, reports indicate that some of the invoices have remained unsettled since 2020. The cumulative debt initially surpassed ₦200 billion, though half of the affected financial institutions have reportedly fulfilled their obligations.
According to the NCC’s public notice, the financial institutions still in default include Fidelity Bank Plc, First City Monument Bank, Jaiz Bank Plc, Polaris Bank Limited, Sterling Bank Limited, United Bank for Africa Plc, Unity Bank Plc, Wema Bank Plc, and Zenith Bank Plc.
The USSD codes at risk of disconnection include prominent ones like *770#, *919#, and *822#, among others. If unresolved, these codes may be reassigned to new applicants. Additionally, the banks’ inability to clear these debts disqualifies them from meeting the regulatory standards required for code renewal, as mandated by the joint circular issued by the Central Bank of Nigeria (CBN) and the NCC on December 20, 2024.
Highlighting the consumer impact, the NCC stated that customers utilizing these USSD platforms could face disruptions beginning January 27, 2025. The commission underscored its commitment to safeguarding consumer interests while urging the defaulting banks to expedite compliance to prevent service interruptions.
Meanwhile, data from the Central Bank of Nigeria reveals that between January and June 2024, a staggering 252.06 million transactions valued at ₦2.19 trillion were executed via the USSD platform, showcasing its critical role in Nigeria’s digital financial ecosystem.
The NCC reiterated that the affected financial institutions have been given ample notification to rectify the situation and warned that further inaction could lead to significant operational challenges for consumers relying on their USSD services.