Two major Nigerian telecommunication companies, Airtel and Globacom, have resumed their airtime and data lending services following the suspension of controversial regulations by the Federal Competition and Consumer Protection Commission (FCCPC). This development brings relief to millions of subscribers who rely on these services during emergencies.
Background of the Suspension
The FCCPC announced on May 22 that it had suspended enforcement of its Digital, Electronic, Online or Non-Traditional Consumer Lending (DEON) Regulations 2025. This decision came after an interim order issued by the Federal High Court in Lagos, following a lawsuit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN). Justice A.L. Allagoa restrained the commission from implementing the rules, paving the way for telecom operators to reactivate their lending platforms.
Services Restored
Subscribers can now access products such as Globacom's popular "Borrow Me Credit" service and Airtel's airtime advance options. These services had been suspended in April amid fears of sanctions under the new regulations. Ayo Stuffman, Chairman of WASPAN, confirmed the restoration, noting that Airtel and Glo have already relisted their services. He expressed confidence that MTN would soon follow based on the FCCPC's latest position.
The Regulatory Dispute
The controversy began when the FCCPC expanded its DEON Regulations to include telecom airtime and data credit services. Under the framework, telecom operators offering deferred payment options would be treated as lenders and required to comply with registration, disclosure, and consumer protection obligations similar to digital loan providers. This move sparked resistance from telecom operators and industry stakeholders, who argued that airtime advances are fundamentally different from traditional loans. WASPAN maintained that airtime credit is a telecom value-added service already regulated by the Nigerian Communications Commission (NCC) and should not be subjected to a separate lending regime.
Impact on Subscribers
The suspension of services disrupted a market estimated to handle hundreds of billions of naira annually. It affected millions of Nigerians, particularly low-income subscribers who depend on small airtime advances to stay connected when funds are unavailable. The return of these services offers immediate relief, but the broader dispute remains unresolved.
Future Outlook
The FCCPC has indicated its intention to challenge the court order and continue pursuing its case. The commission has instructed its legal team to contest both the ruling and the competence of the suit. Meanwhile, telecom operators and industry groups are expected to push for a harmonized regulatory framework between the FCCPC and the NCC to clarify how airtime and data credit services should be treated going forward. The outcome of the legal battle will determine whether these services remain available under the current model or become subject to stricter lending regulations.
