Airtel and Globacom (Glo), two of Nigeria’s biggest mobile networks, have restarted their popular airtime lending services.
Airtel and Globacom (Glo), two of Nigeria’s biggest mobile networks, have restarted their popular airtime lending services.
Subscribers can now use services like Glo’s “Borrow Me Credit” and Airtel’s airtime advances again. This comes after a federal court stepped in to block strict new rules from the government’s consumer protection agency, the FCCPC.
What Caused the Stoppage?
In April, telecom networks across Nigeria suddenly stopped letting people borrow airtime and data. They did this because the Federal Competition and Consumer Protection Commission (FCCPC) introduced a new law called the DEON Regulations.
The government agency argued that borrowing airtime is just like taking a digital loan from a bank app. Under their rules, telecom companies could no longer lend airtime automatically. Instead, they had to behave like banks checking customers’ profiles and creditworthiness before letting them borrow.
To avoid heavy fines, the mobile networks chose to turn off the borrowing feature entirely.
Why Was This a Huge Problem?
The sudden shutdown hurt both everyday people and the economy:
• Millions Left Stranded: Around 40 million Nigerians rely on borrowing small amounts of airtime for emergency calls or when they run out of money.
• Massive Financial Losses: The airtime lending market is huge, bringing in an estimated N300 billion to N400 billion every year.
The Wireless Application Service Providers Association of Nigeria (WASPAN) took the matter to the Federal High Court in Lagos.
They argued that borrowing airtime is a basic telecommunications service already overseen by the Nigerian Communications Commission (NCC)not a conventional bank loan.
The judge agreed and issued an order blocking the FCCPC from enforcing the new rules. Following this court order, the FCCPC officially announced it would pause the regulations.
“As we speak, the services in question are already active on Airtel and Glo,” said Ayo Stuffman, the chairman of WASPAN. He added that MTN users should also expect their borrowing services to return very soon.
What Happens Next?
While Airtel and Glo users can happily borrow credit again for now, the argument isn’t completely over. The FCCPC has stated that it plans to fight the court’s decision.
For the time being, telecom companies and government agencies are expected to work together to find a better, simpler system that protects consumers without shutting down essential services.
