Airtel Africa and Globacom have reinstated airtime lending services in Nigeria following a six-week suspension, after the Federal Competition and Consumer Protection Commission (FCCPC) paused enforcement of its Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations (DEON Regulations) 2025. The move comes after a Federal High Court in Lagos, presided over by Justice A.L. Allagoa, issued an interim order on April 15 halting the FCCPC's implementation of the rules. The regulations had classified telecom airtime and data credit services as digital lending, requiring operators to comply with stricter consumer lending conditions. Telecom providers and the Wireless Application Service Providers Association of Nigeria (WASPAN) challenged the FCCPC's authority, arguing that airtime credit falls under existing Nigerian Communications Commission (NCC) oversight as a value-added telecom service. Ayo Stuffman, chairman of WASPAN, confirmed on Monday that airtime borrowing is active again on Airtel and Glo networks. He expressed confidence that MTN Nigeria would soon resume the service, citing recent regulatory developments. However, as of Monday evening, MTN subscribers remained unable to access airtime loans. The FCCPC announced the temporary suspension of enforcement on May 22 but stated it intends to contest the court's order. The six-week disruption affected millions of low-income subscribers who rely on emergency airtime advances during cash shortages. The DEON Regulations were initially introduced to curb abusive practices by digital lenders, including harassment and hidden fees, but their extension to telecom services sparked industry backlash. NCC executive vice chairman Aminu Maida maintained in April that airtime credit is governed by the Communications Act and lies within the NCC's regulatory scope. The episode underscores ongoing regulatory tensions in Nigeria's digital economy, where boundaries between telecom and financial services remain contested.
FCCPC moved to regulate airtime loans as financial products while exempting the very digital lenders it accused of abuse, creating a contradiction in its enforcement focus. The pause benefits Airtel and Glo users, but MTN subscribers are still locked out of a service they used to access. Regulators are now seen treating telecom airtime differently from fintech loans, even though both involve deferred payment. This inconsistency leaves consumers uncertain about which protections apply when borrowing small amounts.
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