Subscribers on the MTN network will once be able to use bank channels to buy airtime and data as the telco and commercial banks reach a consensus over the review of the commission in contention.
In a letter first reported by The Cable, the telco said it has agreed to revert to the status quo of 4.5 percent commission.
Nigerian banks had cut off the largest telecom operator in Africa, MTN after the latter decided singlehandedly to cut back on the commissions it pays out to banks and fintechs on the sales of airtime and data. MTN was going to reduce the commission from 4.5 percent to 2.5 percent.
Following the telco’s decision, the leadership of commercial banks in Nigeria met and agreed to discontinue support for services offered by MTN through bank channels. On Friday, millions of subscribers on the network were shut out from using bank channels for the usual services.
Read Also: Fintech firms to replace banks as MTN embraces new channels for airtime sale
The situation forced the telco to turn to fintech platforms and also the intervention of the minister of Communications and Digital Economy, Isa Ali Pantami. It appears the meeting of banks and MTN have now yielded results. However, as a condition for its concession, MTN said it expects to meet with banks to discuss options for the commission reduction.
“However, the banks and MTN Communications Nigeria Plc shall sit to agree on various options that will result in the reduction in the costs on 6th of April 2021.”
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