MTN Nigeria has announced the temporary suspension of its airtime and data credit service, Xtratime, as it moves to comply with new consumer lending regulations introduced in Nigeria.
The decision, disclosed in a filing with the Nigerian Exchange (NGX), follows the implementation of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which aim to strengthen oversight and improve transparency in digital credit services.
Xtratime, a widely used offering that enables subscribers to borrow airtime or data and repay on their next recharge, now falls under stricter regulatory requirements. These include enhanced licensing and compliance obligations for companies providing digital lending services. In a statement signed by Company Secretary Uto Ukpanah, MTN said the suspension is a temporary measure necessary to align its operations with the updated framework.
Despite the pause, the telecom operator reassured customers that alternative channels for purchasing airtime and data, including banking apps and USSD platforms, remain fully functional. The company also moved to ease investor concerns, noting that the suspension is unlikely to materially impact its financial performance, given the relatively small contribution of Xtratime to overall revenue.
The regulatory push is being led by the Federal Competition and Consumer Protection Commission, which has intensified efforts to rein in digital lending practices and enhance consumer protection across the sector. As it adjusts to the new rules, MTN signalled continued focus on long-term growth, revealing plans to expand fibre connectivity to eight million households by 2028.
The move underscores a broader strategic shift toward strengthening broadband infrastructure and deepening digital inclusion. The development reflects the evolving regulatory landscape in Nigeria’s digital economy, where authorities are increasingly seeking to balance innovation with stronger consumer safeguards.
