MTN Suspends Airtime, Data Loan Service Over New FCCPC Rules

MTN Nigeria has temporarily suspended its airtime and data credit service, popularly known as Xtratime, in compliance with new regulatory requirements introduced by the Federal Competition and Consumer Protection Commission (FCCPC).

The telecom giant disclosed the development in a statement signed by its Company Secretary, Uto Ukpanah, and filed with the Nigerian Exchange Limited on Thursday.

Xtratime allows prepaid subscribers to borrow airtime or data and repay on their next recharge. However, MTN said the service has been paused as it aligns with the provisions of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025.

According to the company, the updated regulations introduce a stricter compliance and licensing framework for organisations offering digital or non-traditional credit services, including telecom operators.

“MTN Nigeria Communications PLC 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 statement read.

Despite the suspension, MTN assured customers that other options for purchasing airtime and data remain fully available. It also noted that the pause is not expected to significantly affect its financial performance.

“Given the scale within the revenue mix, we do not expect the temporary suspension to have a material impact,” the company said, adding that it is monitoring customer usage patterns and will provide updates in its Q1 2026 results.

The FCCPC’s revised 2025 framework expands oversight of digital lending to include telecom-based credit services, building on earlier guidelines introduced in 2022. Under the new rules, all providers must register and obtain regulatory approval before continuing operations.

The compliance deadline has been set for April 2026.

The tighter regulations follow growing concerns around consumer debt, data privacy, and lending practices in Nigeria’s rapidly expanding digital credit market.