Deposite Money Banks have an outstanding debt of N42bn for Unstructured Supplementary Service Data (USSD) services provided by the mobile network operators, the Nigerian Communications Commission the said on Thursday.
The Executive Vice Chairman, NCC, Prof. Umar Danbatta, disclosed this during his lecture at the 2021 Bullion Lecture held in Lagos.
This represents 147 percent increase in debt from N17 billion debt reported last year October.
Danbatta explained that the indebtedness of the banks to mobile network operators had been cause of concern, adding that the NCC was working hard to resolve it.
Danbatta said, “The issue of the USSD has become an issue between the telcos and the banks. The telecommunication companies provide the infrastructure which the banks leverage on to provide banking services of all kinds.
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“Therefore, it is expected that for this service someone should pay. No service is free. The investment in infrastructure that is driving the USSD service is a huge investment that the telcos made.”
The NCC boss added, “It is expected that they (telcos) will recoup their investments in order to continue and to expand the service. About N42bn that is owed the telcos has not been paid by the banks for the provision of this service.”
Danbatta said the telecommunications firms could not withdraw their services to the banks because such action would not go down well with the Federal Government.
He said, “The telecommunications companies cannot unilaterally withdraw this service because it will be seen as a subversive act, undermining the digital inclusion strategy of the present government.
“And no government will sit back and watch while services that empower citizens are being tampered with or withdrawn. No government will standby and watch this to happen.”
