FCCPC denies banning airtime borrowing

…Says telecom operators responsible for service interruptions

The Federal Competition and Consumer Protection Commission (FCCPC) has denied reports claiming it banned airtime borrowing and data advance services in Nigeria, clarifying that no such directive was issued to telecom operators.

In a statement on Friday signed by its Director of Corporate Affairs, Ondaje Ijagwu, the Commission described as false and misleading a series of newspaper publications and viral social media posts suggesting that it had shut down or prohibited the services.

The Commission has not prohibited airtime borrowing or data advance services, and no directive was issued preventing consumers from accessing lawful telecom value-added services,” the statement said.

The FCCPC explained that its intervention in the sector followed a surge in consumer complaints relating to opaque charges, unexplained deductions, aggressive recovery practices, and poor disclosure standards in parts of the digital lending and advance-services market.

To address these concerns, the Commission introduced the DEON Consumer Lending Regulations in July 2025, aimed at promoting transparency, accountability, and responsible lending practices across the industry.

According to the Commission, the regulations require proper registration of operators, clear disclosure of fees and terms, accessible complaint channels, data protection safeguards, and stronger oversight of third-party partners.

It added that findings in the telecom sector revealed that some operators were engaging in exclusionary arrangements that contravened provisions of the Federal Competition and Consumer Protection Act, 2018.

“These measures were designed to curb abusive practices, improve transparency, and encourage fair competition while allowing local participation alongside foreign partners,” the Commission stated.

The FCCPC disclosed that telecom operators were initially given a 90-day compliance window from July 2025 to align with the new framework, which was later extended to January 5, 2026. However, it noted that some operators failed to meet the requirements within the stipulated period.

The Commission said the continued non-compliance led some service providers to introduce temporary changes, including service suspensions or restrictions, stressing that such actions were business decisions by the operators, not regulatory directives.

“Any temporary suspension, restriction, or operational change introduced by service providers should be understood as a business or compliance decision by those operators, not a ban imposed by the FCCPC,” it stated.

The agency further accused “vested interests” and their collaborators of spreading disinformation to undermine efforts to create a fair and transparent market.

It urged Nigerians to disregard false narratives and assured that it remains committed to protecting consumers, promoting fair competition, and ensuring responsible innovation in the telecommunications and digital finance sectors.