MTN Nigeria suspends Xtratime service due to new digital lending regulations

MTN Nigeria has temporarily suspended its Xtratime airtime and data lending service to comply with new regulatory requirements under Nigeria’s Federal Competition and Consumer Protection Commission’s Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025. The company announced this decision in a corporate filing to the Nigerian Exchange Limited, stating that the service, which allows prepaid subscribers to borrow airtime or data and repay on their next recharge, falls within the scope of the updated regulations. These new rules introduce a revised licensing and oversight framework for providers of digital credit services. MTN's Company Secretary, Uto Ukpanah, confirmed that additional compliance processes are required before Xtratime can resume. Despite the suspension, MTN assured customers that other channels for purchasing airtime and data remain available and does not anticipate a material impact on its earnings. The suspension highlights the expanded scope of Nigeria’s consumer lending regulation, which now includes telecoms operators and other providers of short-term digital credit, aiming to improve transparency, consumer protection, and data governance in the digital lending space. Operators have a compliance window extended to April 2026 for full registration under the new framework. MTN will monitor developments and work towards full compliance to resume the service.