Nigeria’s Communications Fee (NCC) and the Central Financial institution (CBN) have accepted a brand new Finish Person Billing (EUB) mannequin for USSD providers. The choice means USSD prices will probably be deducted instantly from the airtime steadiness, ending years of economic disputes between telecom operators and industrial banks.
For Nigeria’s telecom and digital finance ecosystem, it’s a long-awaited decision to a battle that has disrupted providers and stalled business progress for practically half a decade.
“The EUB mannequin is a vital change in how clients are charged for transactions. It’s being launched to enhance shopper high quality of expertise and to place clients in higher management of their spending,” the NCC famous in an announcement.
Beforehand, many Nigerians utilizing USSD codes for banking actions, corresponding to checking account balances, transferring funds, or shopping for airtime, have been charged with out discover by way of deductions from their financial institution accounts. In distinction, when the identical USSD channel was used for telecom providers, the price was deducted from customers’ airtime with rapid affirmation.
This break up billing mannequin not solely confused shoppers however created a rift between Cell Community Operators (MNOs) and banks. Telcos bore the infrastructure and operational prices of USSD supply, whereas banks collected and sometimes delayed funds, resulting in billions of naira in unsettled money owed and strained relations.
The EUB mannequin simplifies this method. Underneath the brand new strategy, all USSD session prices—together with these for banking—will probably be deducted instantly from the client’s airtime steadiness, similar to a daily voice name or SMS. Customers will now see, management, and approve prices upfront, selling transparency and monetary consciousness.
What this implies for customers
For shoppers, the most important win is billing readability and management. Customers will now obtain real-time affirmation of prices and might choose in or choose out of utilizing USSD banking providers altogether. This protects shoppers from unauthorized deductions and aligns USSD billing with different cell providers, eradicating the thriller and distrust that beforehand plagued the system.
Importantly, the price of a USSD session stays capped at ₦6.98 for 120 seconds—cheaper than the outdated mannequin, which charged ₦1.63 each 20 seconds, totaling practically ₦10 for a similar period. This discount provides higher worth for customers whereas minimising stress to hurry by way of transactions.
Maybe essentially the most transformative facet of EUB is its decision of the long-standing monetary dispute between telcos and banks. For years, telecom operators complained that banks have been sluggish to remit funds for USSD providers, making a bottleneck that led to service interruptions and strained public belief. At one level, unpaid money owed reached billions of naira, prompting threats of USSD service suspension by main telcos.
With EUB, that friction is gone. MNOs now obtain cost instantly on the level of service. This real-time income mannequin eliminates cost delays, reduces administrative overhead, and permits telcos to plan extra confidently for infrastructure investments. It additionally restores a stage of economic autonomy for telecom suppliers, enabling them to innovate and increase service choices with out banking bottlenecks.
Regulatory oversight and shopper safety
To make sure a easy rollout of the Finish Person Billing (EUB) mannequin, the Central Financial institution of Nigeria (CBN) and the Nigerian Communications Fee (NCC) have put in place a sequence of strict regulatory safeguards designed to guard shoppers and promote transparency.
One of many key provisions is the prohibition of double billing. Underneath the brand new mannequin, banks are usually not allowed to cost customers for USSD classes—solely Cell Community Operators (MNOs) are authorised to use prices. This rule eliminates confusion over who’s billing the person and prevents overlapping prices.
One other necessary measure is the requirement for end-of-session notifications. Telcos should ship customers rapid alerts after every USSD session, clearly stating the price incurred. This step ensures that subscribers are absolutely conscious of what they’re being charged and might confirm it in actual time, simply as they might with voice or SMS providers.
The regulators have additionally mandated clear and constant communication. Each banks and telcos are anticipated to tell clients upfront about service availability, price buildings, and any deliberate downtimes which will have an effect on USSD entry. Prospects who expertise double billing or different service-related points can attain out to the CBN and NCC by way of grievance channels: CBN at +234-70-0225-5226 or by way of e-mail at shopper@ncc.gov.ng, whereas the NCC will be contacted by way of its toll-free line at 622 or by way of e-mail at ncc@ncc.gov.ng.
Banks are at present working with MNOs and Worth-Added Service (VAS) suppliers to finish technical integration, end-to-end testing, and formal agreements. Prospects will probably be notified by their banks as soon as the EUB mannequin goes stay for his or her accounts.
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