Telecoms network MTN declared that at the end of the first quarter of 2021, it was owed N40.3 billion by banks for its unstructured supplementary service data (USSD) services.
It noted, in a statement, that it would continue to push for deepened relationships with stakeholders to ensure alignment with the government’s development agenda.
The statement read in part, “we continue to engage with the Nigerian Communications Commission (NCC), Central Bank of Nigeria (CBN) and the deposit money banks (DMBs) to conclude the operational modalities for the new pricing framework that has been agreed upon for USSD services.
“The mechanism for and timing of the recovery of the industry-wide outstanding debts that exist for USSD services provided to the DMBs form part of this process. As of the end of Q1, N40.3 billion was due to MTN Nigeria. In the meantime, we continue to account for USSD revenue on a cash basis.”
MTN’s Chief Executive Officer, Karl Toriola, said “We will continue to sustain our expense efficiency programme to strengthen our financial position and support margins. We remain in dialogue with the DMBs on a pricing option for airtime sales commission while diversifying our airtime recharge channels to offer our subscribers more options to purchase airtime and stay connected.
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“We will pursue stronger and deeper stakeholder relationships and enhanced shared value across our stakeholder ecosystem while ensuring that our activities align with the Government’s development agenda. Environmental, social and governance (ESG) principles remain at the core of everything we do, with a focus on aligning our priorities to drive eco-responsibility, sustainable society, sound governance and economic value for all in Nigeria.”
Recall that BizWatch Nigeria reported on the telecoms network lost 5 million customers as a result of government regulation on the sales of new SIM cards.
In its unaudited results for March 2021, MTN noted that its profit before tax grew by 33.9 percent to N102.9 billion while its digital revenue grew by 101 percent.
