MTN Nigeria has announced the temporary suspension of its airtime and data credit service, Xtratime, saying the move is necessary to comply with new consumer lending regulations that now cover digital and non-traditional credit providers. The telecom company disclosed the decision in a notice filed with the Nigerian Exchange on Thursday.
Xtratime allows subscribers to borrow airtime or data and repay on their next recharge, a service that has become popular among millions of users, especially during periods of financial difficulty. In its filing, signed by Company Secretary Uto Ukpanah, MTN said the suspension was linked to the implementation of processes required under the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations, 2025.
The company said the regulations introduced a new compliance and licensing framework for entities providing digital or non-traditional consumer credit. MTN told investors that, despite the suspension, alternative options for purchasing airtime and data remain available through bank applications, USSD channels and other standard payment platforms.
MTN also sought to calm investor concerns, saying Xtratime does not account for a material share of its revenue mix and that the suspension is therefore not expected to have a significant effect on earnings. The company added that it is monitoring customer behaviour and usage trends and plans to provide further details on any measurable impact in its first-quarter 2026 results.
The development comes amid intensifying scrutiny of Nigeria’s digital lending market by the Federal Competition and Consumer Protection Commission. The FCCPC said the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations took effect on July 21, 2025, and later set January 5, 2026, as the deadline for full compliance. In January, the commission said it had begun phased enforcement against operators that failed to regularise their status under the rules.
The regulations were introduced to strengthen oversight of the fast-growing lending space, with a focus on registration, transparency and ethical recovery practices. They reflect a broader effort by regulators to bring telecom-led financial products and short-term digital credit under the same consumer protection standards increasingly applied to loan apps and other fintech services.
