MTN Nigeria has announced the temporary suspension of its airtime and data borrowing service, popularly known as Xtratime, citing new regulatory requirements.

In a corporate filing to the Nigerian Exchange Limited on Thursday, the telecom giant explained that the decision is part of efforts to comply with the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025.

Why MTN Suspended Xtratime

According to a statement signed by Company Secretary Uto Ukpanah, the new rules introduce a compliance and licensing framework for digital lending services. This means telecom operators offering airtime and data advances are now classified under regulated lenders.

The regulations were issued by the Federal Competition and Consumer Protection Commission, which now requires all digital lenders to formally register and meet strict operational standards.

MTN stated:

“This relates to the implementation of processes under the new regulatory framework for digital or non-traditional consumer credit services.”

Operators were given until April 2026 to comply or face possible sanctions.

What This Means for Customers

While Xtratime is temporarily unavailable, MTN reassured customers that they can still purchase airtime and data through other channels such as USSD codes and digital platforms.

The company also noted that the suspension is not expected to significantly impact its financial performance, given the relatively small share of the service in its overall revenue mix.

Public Reaction

The move has triggered widespread reactions, especially among prepaid users who depend on borrowing airtime or data in urgent situations.

Many customers reported receiving this message:

“Xtra Time is currently unavailable. Kindly recharge… We apologise for the inconvenience.”

Some Nigerians expressed frustration online, noting that the service had become an essential backup amid rising living costs.

Regulatory Context

The new FCCPC regulations build on earlier 2022 guidelines and signal increased government oversight of digital lending in Nigeria. The goal is to improve transparency, protect consumers, and ensure responsible lending practices across the sector.

Related Development

In a separate move, the Nigerian Communications Commission has directed telecom operators—including MTN, Airtel, Globacom, and 9mobile—to begin compensating customers for poor network service starting April 2026.