MTN, Glo settle interconnect debt saga

MTN, Glo settle interconnect debt saga

MTN Nigeria and Globacom have reached an settlement over the excellent points surrounding the settlement of the latter’s interconnect debt, sources near the matter disclosed to BusinessDay.

That is set to convey an finish to the drawn-out dispute between each companies. “Sure, an settlement has been reached. They’ve paid how a lot they owe. However pursuits had accrued over time, however we’ve agreed to gather N2bn as pursuits,” one of many sources stated.

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This growth between each companies has occurred inside the 21-day grace interval the Nigerian Communications Fee gave Glo in January.

61.54 million cellular subscriptions (as of November 2023) on Glo’s community have been prone to getting disconnected from making calls to MTN prior to now. In January, the NCC introduced that Glo subscribers could be barred from making calls to MTN traces quickly as a result of non-settlement of interconnect prices. It said that its directive would possibly take impact on the expiration of a 10-day discover interval.

The fee later prolonged its discover by 21 days after the expiration of the primary. This was for the disputing events to achieve an settlement, contemplating the supposed affect on subscribers.

The NCC stated of the extension, “The Fee is happy to announce that the events have now reached an settlement to resolve all excellent points between them. For that reason, and in train of its regulatory powers in that regard, the fee has put the phased disconnection on maintain for a interval of 21 (twenty-one) days from at this time, 17 January 2024.

“While the fee expects MTN and Glo to resolve all excellent points inside the 21-day interval, the fee insists that interconnect money owed have to be settled by all working corporations as a essential element in the direction of compliance with regulatory obligations of all licensees.”

Reuben Muoka, Director, Public Affairs Division, NCC, talked about to BusinessDay {that a} assertion could be issued quickly. He stated, “I’m not conscious but. I believe so. It could be attainable, however we might should subject a press release quickly.”

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Interconnect price is the worth that telecom operators pay for calls made to them from one other community. MTN and Glo have disagreed over this price for some time. In 2019, Glo subscribers briefly bought disconnected from MTN over a N4bn debt.

Explaining the fee’s stance at a current engagement with the press, Dr Aminu Maida, Government Vice Chairman, NCC, stated, “The fee has intervened as a result of the first subject for us is the buyer. The important thing factor is that each events are on the desk and there’s a dedication to fixing the problems inside the subsequent 21 days.”

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