MTN Nigeria has suspended its airtime and data advance service, Xtratime, following new regulatory requirements introduced by the Federal Competition and Consumer Protection Commission (FCCPC) targeting digital lending operations.
Why MTN took action
The telecom giant disclosed the decision in a filing to the Nigerian Exchange on Thursday, stating that the move is to comply with the FCCPC’s Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025.
According to the company, the Xtratime service falls within the scope of the new rules, which now require providers of such services to obtain fresh licensing and meet stricter compliance standards.
“MTN Nigeria Communications PLC hereby notifies… that the company has temporarily suspended its airtime and data credit advance service (‘Xtratime’),” the statement read.
What the service does
Xtratime allows prepaid subscribers to borrow airtime or data and repay on their next recharge, making it a widely used option for customers facing short-term credit needs.
However, the FCCPC’s updated framework now classifies such offerings as digital credit services subject to tighter oversight.
Impact on customers and revenue
MTN said customers can still purchase airtime and data through other available channels despite the suspension.
The company also downplayed the financial impact of the move, noting that the service does not significantly affect its overall revenue.
“Given the scale within the revenue mix, we do not expect the temporary suspension to have a material impact,” MTN stated.
It added that customer usage patterns are being monitored, with further updates expected in its Q1 2026 results.
Regulatory push on digital lending
The FCCPC’s 2025 regulations expand oversight of digital lending to include telecom operators and other providers of short-term credit.
Under the framework, companies offering airtime and data advances must register and obtain approval to continue operations.
The commission had earlier introduced a similar framework in 2022 but expanded it with stricter rules in 2025.
What it means
The development signals increased scrutiny of Nigeria’s fast-growing digital credit sector, as regulators move to address concerns around consumer debt, data privacy, and lending practices.
