MTN Nigeria Communications PLC has temporarily suspended its airtime and data lending service, Xtratime, following the introduction of new regulatory requirements governing digital credit services in Nigeria.
The company disclosed this in a corporate filing to the Nigerian Exchange Limited on Thursday, stating that the decision was driven by compliance obligations under the 2025 Digital, Electronic, Online or Non Traditional Consumer Lending Regulations.
According to MTN, Xtratime an offering that allows prepaid subscribers to borrow airtime or data and repay on their next recharge—falls within the scope of the updated regulatory framework and requires additional compliance processes before it can resume operations.
“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 company said.
It added that the suspension relates to “the implementation of processes under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduced a new compliance and licensing framework for entities providing digital or non-traditional consumer credit services”.
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The filing, signed by the company’s secretary, Uto Ukpanah, noted that the service would remain unavailable while the company aligns with the new requirements introduced by the Federal Competition and Consumer Protection Commission (FCCPC).
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Despite the suspension, MTN assured customers that other channels for purchasing airtime and data remain fully operational and emphasised that the move is not expected to significantly impact its earnings.
“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 would continue to monitor customer behaviour and provide updates in its first-quarter 2026 results.
The development underscores the expanding scope of Nigeria’s consumer lending regulations, which now extend beyond traditional financial institutions to include telecom operators and other providers of short-term digital credit services.
The FCCPC had earlier introduced a limited framework for digital lending in 2022 but strengthened oversight with the 2025 regulations, mandating all operators in the sector to register and obtain approval to continue offering such services.
Under the new rules, companies providing non-traditional credit services, including airtime and data advances, must comply with licensing requirements aimed at enhancing transparency, consumer protection, and data governance in Nigeria’s rapidly growing digital lending market.
The commission has also set a compliance deadline of April 2026 for existing operators to complete full registration under the new framework.
For telecom operators, the changes introduce additional compliance requirements for services that have become essential for many prepaid users, especially low-income subscribers who rely on short-term airtime advances to stay connected.
