Court Stops MTN, Airtel from Suspending Airtime Lending Services

The Federal High Court in Abuja has restrained MTN Nigeria and Airtel Networks Limited from suspending airtime lending services linked to Nairtime Nigeria Limited. The order follows a suit filed by Nairtime Holdings Limited and Nairtime Nigeria Limited, challenging actions that could disrupt their digital lending operations.

In its ruling delivered on April 24, the court granted an interim injunction directing both telecom operators to maintain existing services pending the determination of the substantive case. The plaintiffs had argued that plans to restrict access to telecommunications platforms such as USSD, SMS, short codes and billing systems would negatively affect their licensed operations approved by the Nigerian Communications Commission.

The court held that the telecom firms must not interfere with the plaintiffs’ access to their platforms while the licence remains valid. It also ruled that contractual notice periods and dispute resolution mechanisms must be respected, even in the face of new regulatory directives, and ordered that the current situation be preserved until the case is decided.

Also Read: Court stops police, FRSC from fining motorists over insurance

The dispute follows the recent suspension of airtime credit services by telecom operators, citing compliance with new regulations introduced by the Federal Competition and Consumer Protection Commission. Industry stakeholders have raised concerns over regulatory overlap, noting that airtime lending services operate within the telecommunications sector. The market for such services is estimated to be worth hundreds of billions of naira annually, highlighting its importance to both operators and consumers.