The Association of Corporate Affairs Managers of Banks has urged continued dialogue among stakeholders to prevent any inconvenience to bank customers, following the Nigerian Communications Commission’s threat to disconnect banks from telecom companies.
Additionally, the NCC warned it would publicly disclose the names of 18 banks that have failed to settle their outstanding debts for using Mobile Network Operators’ Unstructured Supplementary Service Data platforms.
The defaulting banks collectively owe N200 billion, and the telecom regulator is preparing to take action, including suspending USSD services for the banks that have failed to settle their debts.
This was disclosed by the President of ACAMB, Rasheed Bolarinwa, on Tuesday, according to The Punch.
Bolarinwa, said, “Many customers, especially at the retail end (mostly peopled by citizens at the lower rung of the society) who access banking services via the USSD Channel, might be impacted as they’d not be able to engage in banking activities like transfer of funds, checking their accounts balance, buy air time/data or even access quick loans) which will be a shame. Earnings, however marginal, that accrue to banks also from the use of USSD platforms would be affected somehow, ditto for the telcos.
“ACAMB advocates continued discussions and dialogue as we are of the view that all issues on USSD debt among others, could be resolved amicably without any recourse to disconnection of USSD service to the Banks in the best interest of these two critical sectors and their respective customers who utilize this all-important platform.”
Bolarinwa added that the association was aware of ongoing efforts to resolve the issue, stating, “ACAMB is aware of efforts being made by stakeholders across both divide (DMBs, telcos & the regulators) to amicably settle agreeable amount Deposit Money Banks are said to owe for USSD billings provided to banks by telcos that might make disconnection an unnecessary step to take.
“The banking sector and the operators in the telcos ecosystem must continue to explore mutually beneficial ways of resolving any issue that arises in the course of doing business together. After all, the telcos found Nigerian banks an attractive option to increase their borrowing by the end of the 2023 financial year when they found foreign loans expensive following a challenging operating environment and devalued Naira.
“Just as the DMBs are said to owe telcos for USSD billings, so are Telcos also exposed to the Banks with huge credit according to statistics released recently by the regulators which shows sectoral distribution of bank credit to telcos.”
It is reported that Access Bank has paid its share of the debt owed to telecom companies for using Unstructured Supplementary Services Data banking,
A source at Access Bank on Tuesday said, “We have paid. The payment was made recently. (This is ) as advised by our channels unit.”
