MTN Joins Two Telcos to Restart Airtime, Data Lending Services
- MTN Nigeria plans to reinstate Xtratime service after the FCCPC halts lending regulation enforcement
- Airtel and Globacom have already resumed their airtime lending services following regulatory changes
- MTN reassures investors of the strong revenue outlook despite temporary absence of Xtratime
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
MTN Nigeria is preparing to restore its popular Xtratime airtime and data lending service following a regulatory pause that has already prompted Airtel and Globacom to resume similar offerings.
The development comes after the Federal Competition and Consumer Protection Commission (FCCPC) suspended the enforcement of its Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations (DEON Regulations) 2025, paving the way for telecom operators to reactivate airtime and data advance services.
Source: Getty Images
Regulatory pause opens door for service return
According to a report by TechCabal, an MTN insider confirmed that the company is taking steps to reinstate Xtratime after the FCCPC halted enforcement of the controversial regulations.
The decision marks a shift from MTN’s earlier position. During its May earnings call, company executives had maintained that a court ruling restricting the implementation of the regulations did not automatically require telecom operators to resume lending services.
At the time, MTN argued that the court order neither invalidated the regulations nor explicitly directed operators to restore suspended products.
However, the latest suspension by the FCCPC appears to have provided the clarity the telecom giant was seeking.
Airtel and Glo are already back in operation
While MTN weighed its options, Airtel Nigeria and Globacom moved quickly to restore their airtime lending services after the regulatory enforcement was paused.
For millions of subscribers, airtime and data borrowing services serve as a convenient short-term solution, allowing customers to stay connected even when they run out of credit.
MTN’s Xtratime platform enables users to borrow airtime or data and repay automatically when they recharge. The service has become an important part of the company’s telecom and fintech ecosystem, generating fees while supporting customer usage.
Court case behind the suspension
The FCCPC suspended enforcement of the DEON Regulations on May 22 following an interim order issued by the Federal High Court in Lagos on April 15.
The court order stemmed from a lawsuit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN), which challenged aspects of the regulations affecting digital lending and value-added service providers.
The regulatory uncertainty led telecom operators to suspend airtime and data lending services while awaiting further legal and policy clarification.
Limited impact on MTN’s revenue
Despite the suspension, MTN executives insist the temporary absence of Xtratime has not significantly affected customer demand or business performance.
According to MTN Chief Executive Officer Karl Toriola, subscribers initially adjusted their usage patterns but quickly adapted by funding their telecom needs through alternative means.
The company estimates that fees generated from Xtratime contribute about 3 per cent of total revenue, while airtime and data consumption linked to the service account for a little over one-fifth of airtime distribution.
MTN noted that the product primarily influences how customers pay for telecom services rather than whether they consume them.
Onboarding process underway
In its first-quarter 2026 earnings report, MTN disclosed that it had begun onboarding approved providers and expected to restore the service once the process is completed.
With rivals already back in the market, MTN’s planned return highlights the operational and competitive value of Xtratime.
Source: UGC
Nevertheless, the company maintains that its long-term revenue outlook remains strong even if the service faces future disruptions.
MTN generated ₦5.2 trillion in revenue in 2025 and projects revenue of at least ₦6.24 trillion in 2026, underscoring confidence in its growth strategy despite recent regulatory challenges.
MTN, Airtel, others Issue notices on USSD billing
Legit.ng earlier reported that the Association of Licensed Telecommunications Operators of Nigeria (ALTON) has defended the controversial ₦6.98 USSD charge on banking transactions and responded to growing complaints over expired mobile data, insisting that telecom operators still bear costs even when digital banking services fail.
The clarification comes amid rising frustration from subscribers of major telecom providers, including MTN Nigeria, Airtel Nigeria, Glo, and 9mobile, over charges linked to USSD banking services and the expiration of unused data bundles.
Many customers have questioned why they are billed for failed banking transactions and why unused data often disappears after subscription deadlines.
Source: Legit.ng
