As a result of new regulations from the Federal Competition and Consumer Protection Commission (FCCPC), MTN Nigeria has discontinued its Xtratime airtime and data advance service. In a filing to the Nigerian Exchange Limited on Thursday, the telecom provider announced the decision and stated that the suspension was necessary to comply with the FCCPC's Digital, Electronic, Online, or Non-Traditional Consumer Lending Regulations, 2025. Prepaid customers can borrow data or airtime from the service and pay it back when they recharge.
MTN stated that Xtratime is subject to the new legislation, which call for additional licensing and compliance procedures for suppliers of digital credit services, in a disclosure signed by Uto Ukpanah, the company secretary.
“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.
The suspension is related 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," the statement continued.
Customers will still be able to purchase airtime and data through alternative channels, according to MTN, which also emphasized that the decision is not anticipated to have a significant impact on earnings. Telecom companies and other suppliers of short-term credit services are now subject to additional scrutiny of digital lending under the FCCPC's 2025 regulations.
To operate under this framework, businesses providing airtime and data advances must register and receive approval. A legal framework for digital lending was first introduced by the commission in 2022, but in 2025, it was enhanced with more stringent regulations.
Deadlines for transitional compliance have been established, and complete registration is anticipated by April 2026. Concerns over consumer debt, data privacy, and lending practices in Nigeria's rising digital credit sector are reflected in the tightening of regulations.
