Why MTN and Airtel temporarily suspended airtime lending in Nigeria

Nigeria’s largest telecom operators are temporarily suspending airtime and data loan services, a once-sticky feature for prepaid users, as new consumer lending rules force them into full regulatory compliance.

On Thursday, MTN Nigeria, the country’s largest telco, temporarily suspended its airtime and data lending product, Xtratime, and Airtel Nigeria, the second-largest provider, followed suit on Friday, citing the need to align with “evolving requirements.” Both companies say customers can still purchase airtime and bundles through standard channels.

“MTN Nigeria Communications PLC (MTN Nigeria or the Company) hereby notifies the Nigerian Exchange Limited and the investing public that the Company has temporarily suspended its airtime and data credit advance service (“Xtratime”),” the telco said in its filing. “This relates to the implementation of processes under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduced a new compliance and licencing framework for entities providing digital or non-traditional consumer credit services.”

By Emmanuel Nwosu

Full story at Tech Cabal