The Central Bank of Nigeria (CBN) and the Nigerian
Communications Commission (NCC) have released a framework on the
pricing of Unstructured Supplementary Service Data (USSD)
services.
![image](/2021/03/sjk.jpg")
Effective from March 16th, USSD charges per transaction would be
6.98 naira, the regulatory institutions announced on Tuesday in
Abuja.
![image](/2021/01/payne-alex.jpg")
However, there is an outstanding accumulated charges of about 42
billion naira which prompted the intervention of the Federal
Government at the weekend as stakeholders insisted that time had
come to find lasting solution to matter.
According to a joint statement by the CBN and the NCC, the new
price was the outcome of a meeting by all stakeholders.
The statement noted that the meeting was chaired by the Minister
of Communications and Digital Economy, Dr Isa Pantami.
The regulatory bodies acknowledged that “Mobile Network
Operators (MNOs) and Deposit Money Banks (DMBs) have had protracted
disagreements concerning the appropriate USSD pricing model for
financial transactions.”
The joint statement signed by Acting Director of Corporate
Communications, CBN, Mr Osita Nwanisobi and the Director of Public
Affairs of NCC, Dr Ikechukwu Adinde added that the disagreements
had “resulted in the accumulation of outstanding fees for USSD
services rendered leading to potential service withdrawal by the
MNOs.”
USSD is a critical channel for delivering financial services,
particularly for the underserved and/or financially excluded, the
CBN and NCC noted.
The joint statement reads: “To resolve the lingering dispute and
ensure uninterrupted services to customers on this channel, the
Honorable Minister for Communications and Digital Economy on March
15, 2021 chaired a meeting of key stakeholders to discuss an
amicable resolution in the interest of the general public.
” Represented at the meeting were the various MNOs, Association
of Licensed Telecoms Operators of Nigeria (ALTON), Association of
Telecommunications Companies of Nigeria (ATCON), DMBs (represented
by the Chairman, Body of Bank CEOs) and the sector regulators —
Central Bank of Nigeria (CBN) and Nigerian Communications
Commission (NCC).
“We are pleased to announce that after comprehensive
deliberations on the key issues, a resolution framework acceptable
to all parties was agreed thus:
“Effective March 16, 2021, USSD services for financial
transactions conducted at DMBs and all CBN – licensed institutions
will be charged at a flat fee of N6.98 per transaction.
“This replaces the current per session billing structure,
ensuring a much cheaper average cost for customers to enhance
financial inclusion.
“This approach is transparent and will ensure the amount remains
the same, regardless of the number of sessions per transaction.
“To promote transparency in its administration, the new USSD
charges will be collected on behalf of MNOs directly from
customers’ bank accounts.
“Banks shall not impose additional charges on customers for use
of the USSD channel.
“A settlement plan for outstanding payments incurred for USSD
services, previously rendered by the MNOs, is being worked out by
all parties in a bid to ensure that the matter is fully
resolved.
“MNOs and DMBs shall discuss and agree on the operational
modalities for the implementation of the new USSD pricing
framework, including sharing of Application Programme Interface
(API) to enable seamless, direct and transparent customer
billing.
“DMBs and MNOs are committed to engaging further on strategies
to lower cost and enhance access to financial services.
“With the above resolutions, the impending suspension of DMBs
from the USSD channel is hereby vacated. Therefore, DMBs shall no
longer be disconnected from the USSD channel.
“The general public is reminded that the USSD channel is
optional, as several alternative channels such as mobile apps,
internet banking and ATMs may be used for financial
transactions.
“The CBN and NCC shall continue to engage relevant operators and
all stakeholders to promote cheaper, seamless access to mobile and
financial services for all Nigerians.”
The Central Bank of Nigeria (CBN) and the Nigerian
Communications Commission (NCC) have released a framework on the
pricing of Unstructured Supplementary Service Data (USSD)
services.
Effective from March 16th, USSD charges per transaction would be
6.98 naira, the regulatory institutions announced on Tuesday in
Abuja.
However, there is an outstanding accumulated charges of about 42
billion naira which prompted the intervention of the Federal
Government at the weekend as stakeholders insisted that time had
come to find lasting solution to matter.
According to a joint statement by the CBN and the NCC, the new
price was the outcome of a meeting by all stakeholders.
The statement noted that the meeting was chaired by the Minister
of Communications and Digital Economy, Dr Isa Pantami.
The regulatory bodies acknowledged that “Mobile Network
Operators (MNOs) and Deposit Money Banks (DMBs) have had protracted
disagreements concerning the appropriate USSD pricing model for
financial transactions.”
The joint statement signed by Acting Director of Corporate
Communications, CBN, Mr Osita Nwanisobi and the Director of Public
Affairs of NCC, Dr Ikechukwu Adinde added that the disagreements
had “resulted in the accumulation of outstanding fees for USSD
services rendered leading to potential service withdrawal by the
MNOs.”
USSD is a critical channel for delivering financial services,
particularly for the underserved and/or financially excluded, the
CBN and NCC noted.
The joint statement reads: “To resolve the lingering dispute and
ensure uninterrupted services to customers on this channel, the
Honorable Minister for Communications and Digital Economy on March
15, 2021 chaired a meeting of key stakeholders to discuss an
amicable resolution in the interest of the general public.
” Represented at the meeting were the various MNOs, Association
of Licensed Telecoms Operators of Nigeria (ALTON), Association of
Telecommunications Companies of Nigeria (ATCON), DMBs (represented
by the Chairman, Body of Bank CEOs) and the sector regulators —
Central Bank of Nigeria (CBN) and Nigerian Communications
Commission (NCC).
“We are pleased to announce that after comprehensive
deliberations on the key issues, a resolution framework acceptable
to all parties was agreed thus:
“Effective March 16, 2021, USSD services for financial
transactions conducted at DMBs and all CBN – licensed institutions
will be charged at a flat fee of N6.98 per transaction.
“This replaces the current per session billing structure,
ensuring a much cheaper average cost for customers to enhance
financial inclusion.
“This approach is transparent and will ensure the amount remains
the same, regardless of the number of sessions per transaction.
“To promote transparency in its administration, the new USSD
charges will be collected on behalf of MNOs directly from
customers’ bank accounts.
“Banks shall not impose additional charges on customers for use
of the USSD channel.
“A settlement plan for outstanding payments incurred for USSD
services, previously rendered by the MNOs, is being worked out by
all parties in a bid to ensure that the matter is fully
resolved.
“MNOs and DMBs shall discuss and agree on the operational
modalities for the implementation of the new USSD pricing
framework, including sharing of Application Programme Interface
(API) to enable seamless, direct and transparent customer
billing.
“DMBs and MNOs are committed to engaging further on strategies
to lower cost and enhance access to financial services.
“With the above resolutions, the impending suspension of DMBs
from the USSD channel is hereby vacated. Therefore, DMBs shall no
longer be disconnected from the USSD channel.
“The general public is reminded that the USSD channel is
optional, as several alternative channels such as mobile apps,
internet banking and ATMs may be used for financial
transactions.
“The CBN and NCC shall continue to engage relevant operators and
all stakeholders to promote cheaper, seamless access to mobile and
financial services for all Nigerians.”