MTN Nigeria has temporarily suspended its popular Xtratime airtime and data credit advance service to comply with new federal regulations governing digital lending.
The telecom giant announced the move in a filing to the Nigerian Exchange Limited on Thursday, citing the need to implement processes under the Federal Competition and Consumer Protection Commission’s (FCCPC) Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025.
“MTN Nigeria Communications PLC hereby notifies the Nigerian Exchange Limited and the investing public that the company has temporarily suspended its airtime and data credit advance service (‘Xtratime’),” the statement signed by company secretary Uto Ukpanah read.
It added that the suspension “relates to the implementation of processes under the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025, which introduced a new compliance and licensing framework for entities providing digital or non-traditional consumer credit services.”
The Xtratime service, accessible via the USSD code *303#, allowed millions of MTN subscribers across Nigeria to borrow airtime or data when out of credit, with repayment deducted from future recharges. The facility has been a key convenience for users in a market where many rely on such short-term credit to stay connected.
The FCCPC regulations, which took effect in 2025, impose stricter licensing, compliance and consumer protection requirements on non-traditional lenders, including telecom operators offering credit services. Industry observers say the rules aim to enhance transparency, curb exploitative practices and better protect borrowers in Nigeria’s fast-growing digital lending space.
MTN did not specify how long the suspension would last or detail exact steps being taken for re-compliance. The company has not issued a separate public statement to customers beyond the regulatory filing.
The development comes amid broader efforts by Nigerian authorities to regulate fintech and digital credit services, following concerns over high interest rates, data privacy and aggressive debt recovery methods employed by some lenders.
Subscribers have already begun reporting inability to access the borrowing feature, sparking mixed reactions on social media, with some expressing frustration over the sudden halt while others welcomed tighter oversight of lending practices.
MTN remains Nigeria’s largest mobile network operator, serving tens of millions of customers. The firm said it would provide further updates as it works through the new regulatory requirements.
