Telecos threaten to withdraw USSD services from banks

by Johnson Daniel

Over debt, the Association of Licensed Telecommunications Operators of Nigeria (ALTON) has threatened to withdraw unstructured supplementary service data (USSD) services from banks.

According to the association, the accumulated debt from unstructured supplementary service data (USSD) owed to them by banks reached N80 billion as of November of this year.

Gbenga Adebayo, chairman of ATCON, stated in a recent interview with Thisday that the issue had to be addressed because it could not be wished away.

“The debt is rising and has not been paid by the banks. As of November 2022, the accumulated debt rose to over N80 billion. When we started the argument in 2019, it was N32 billion, and they continue to claim that they are not owing, but our investigation shows that they are still using the USSD platform to offer banking services to their customers, yet they are not remitting to telecom operators who own the USSD platform.

“Time will soon come when we will be constrained to withdraw the service and many bank customers that depend on the USSD service will suffer for it and it will affect the economy. It is honourable to pay their debts and they have to pay,” Adebayo said.

“We are warning that the banks’ action in refusing to pay their debt; will have negative consequences on the CBN’s cashless economy agenda for the country. It will be a threat to the cashless economy. So, CBN should advise money deposit banks to pay up the accumulated debts,” he added.

If banks withdraw USSD services, it will have a huge impact on many people because they will no longer be able to perform any bank transactions via USSD.

Leave a Comment

Related Posts

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy