The Association of Licensed Telecoms Operators of Nigeria (ALTON) has raised concerns over an ongoing dispute affecting Nigeria’s airtime credit system, warning that the situation could destabilise a market valued at between ₦300 billion and ₦400 billion annually. According to the association, the disagreement has gone beyond a routine regulatory issue and is now threatening consumer access, business stability, and investor confidence within the telecom sector. The group stressed the urgency of resolving the matter before it causes deeper disruptions across the industry.
Speaking on the development, ALTON Chairman, Gbenga Adebayo, explained that the crisis reflects broader concerns about how institutions coordinate and respect legal decisions. He said, “What is happening in the airtime credit market is not simply a dispute between regulators. It is a test of whether the structures that underpin business confidence in this country are functioning as they should.”
He further noted that despite existing court rulings, businesses with valid licences are still being affected, while millions of consumers continue to feel the impact. This, he argued, highlights the need for all stakeholders to act responsibly and restore order to the system.ALTON emphasised that the airtime credit market plays a vital role in Nigeria’s informal economy. Many small traders, artisans, and low-income earners rely on airtime advances as a form of short-term credit to support their daily activities. The association explained that, “The airtime credit market serves as an informal credit mechanism for millions of Nigerians…”Given its importance, any disruption to the system could affect not just telecom operators but also economic activity at the grassroots level.
At the centre of the dispute is a regulatory conflict between the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Communications Commission (NCC). The disagreement revolves around which agency has oversight over airtime credit services and value-added service providers. ALTON maintains that the NCC has clear authority over telecom operations under existing laws. However, overlapping directives and regulatory actions have created confusion, leading to uncertainty in the market.
The association also revealed that it had previously warned about potential disruptions as far back as 2025, noting that inconsistent regulations could destabilise the sector if not properly addressed. Meanwhile, court orders issued in Lagos and Abuja had restrained interference in the operations of licensed service providers. Despite this, ALTON says ongoing actions in the market suggest a disconnect between regulatory enforcement and judicial directives.
In a related response, the FCCPC denied banning airtime or data borrowing services. Instead, it attributed the temporary suspension of such services by telecom operators to non-compliance with new regulatory requirements. The commission stated that affected companies were given time to align with the new framework but failed to do so within the deadline. As a result, some services were halted pending proper regularisation.
Industry analysts note that the airtime lending segment has grown into a major revenue stream for telecom operators, generating hundreds of billions of naira annually. This underscores the scale of the risk if the dispute remains unresolved.Ultimately, ALTON is calling for collaboration among regulators, telecom operators, and the federal government to ensure clarity and stability. Without swift intervention, the association warns that the crisis could erode trust in Nigeria’s regulatory system and weaken a critical segment of the digital economy.
