The Federal Competition and Consumer Protection Commission (FCCPC) has clarified that it has not banned airtime borrowing or data advance services in Nigeria, contrary to recent media reports suggesting otherwise. In a statement issued by the Director of Corporate Affairs, Ondaje Ijagwu, the FCCPC emphasized that no directive has been issued to prevent consumers from accessing lawful telecom value-added services. This clarification comes in response to claims from certain sections of the Nigerian media alleging that the Commission had imposed a ban on these services. Ijagwu described these reports as incorrect, explaining that the Commission’s actions are part of broader regulatory efforts aimed at improving transparency and accountability in the digital lending and advance-services market.
In July 2025, the FCCPC introduced the DEON Consumer Lending Regulations in response to widespread consumer complaints regarding opaque charges, unexplained deductions, aggressive recovery practices, poor disclosure standards, and inadequate accountability among some service providers. These regulations were designed to curb abusive practices, enhance market confidence, and promote a fairer system. Key features include mandatory registration, responsible lending conduct, clear disclosure of fees and terms, accessible complaint channels, data protection safeguards, stronger accountability for third-party partners, and effective regulatory oversight.
The FCCPC also found that some telecommunications operators had engaged in exclusionary third-party technical arrangements, violating the Federal Competition and Consumer Protection Act of 2018. The Commission’s measures aim to open the market to both local and foreign participants in line with free market principles, ultimately benefiting Nigerian consumers through reduced abusive practices, improved transparency, stronger choices, and encouragement of responsible innovation. Ijagwu noted that certain vested interests and their foreign collaborators have opposed the creation of safe markets and fair competition, resorting instead to disinformation campaigns.
At the launch of the regulatory framework in July 2025, affected operators were given an initial 90-day compliance period to regularize their products, structures, and operations. When this period was not utilized, particularly in the telecom sector, the compliance window was extended to January 5. Despite this extension, many telecom operators failed to register and regularize their services. The FCCPC urged the public to disregard false and misleading narratives and reaffirmed its commitment to protecting consumers, promoting fair competition, encouraging responsible innovation, and ensuring transparent digital financial practices.
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