Nigerian telecom subscribers will begin to experience a new USSD billing payment, as mobile network operators like MTN, Airtel, Globacom, and 9mobile begin deducting charges directly from customers’ airtime balances.
This development comes after the Nigerian Communications Commission (NCC) announced the implementation of a new End-User Billing (EUB) model.
Pan-Atlantic Kompass reports that before Wednesday, June 18, 2025, banks collected fees for USSD transactions.
However, there have been several disputes between Nigerian banks and telecos over delayed or failure to remit payments.
With the new NCC’s EUB model, effective from June 18, telcos are paid instantly at the point of service.
Subscribers will now receive real-time alerts detailing charges after each USSD session, ensuring clarity and fairness.
This was made known in a statement signed by Mr Gbenga Adebayo, the Chairman, Association of Licensed Telecommunications Operators of Nigeria (ALTON), and the Publicity Secretary, Mr Damian Udeh.
The ALTON boss said the new USSD billing model would allow mobile network operators to charge customers directly for USSD sessions, with charges deducted from airtime balance at N6.98 per 120 seconds.
He noted that customers would receive a prompt to opt in and approve the charge before deduction, and billing would only occur for successful sessions.
Adebayo assured that the change would not affect USSD banking services’ availability or functionality, and customers could continue using bank USSD codes with sufficient airtime.
The statement reads in part: “USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations.
“However, the previous corporate billing model, where banks were billed by telecom operators, led to prolonged disputes over unpaid charges, service interruptions, and uncertainty for customers.
“To address these challenges, the NCC’s 2025 determination introduced the End-User Billing (EUB) model, which allows mobile network operators to charge customers directly for USSD sessions.
“To achieve the implementation of the EUB model, the CBN and NCC have stipulated that only banks that meet certain regulatory and operational conditions are permitted to migrate.
“To ensure a smooth transition, we urge subscribers to follow support guidelines, and alternative digital banking channels such as mobile apps, internet banking, and ATMs remain fully operational.”
Pan-Atlantic Kompass also reports that this development comes after years of disputes between telecom operators and banks over unpaid USSD debts.
The transition to direct airtime deductions for USSD services is expected to resolve a long-standing feud that saw banks owe telcos an estimated ₦250 billion by 2024.
