[JUST IN]: MTN Suspends Airtime, Data Borrowing Service Over New Rules

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MTN Nigeria Communications Plc has temporarily stopped its airtime and data borrowing service, known as Xtratime, due to new regulations from the Federal Competition and Consumer Protection Commission (FCCPC).

The company made this known in a filing to the Nigerian Exchange Limited on Thursday.

MTN explained that the new FCCPC rules introduce stricter requirements for companies offering digital credit services, including airtime and data loans. Because of this, the company is putting Xtratime on hold to comply with the new guidelines.

Xtratime allows prepaid users to borrow airtime or data and pay back later when they recharge.

Despite the suspension, MTN assured customers that they can still buy airtime and data through other available channels.

The company also said the pause is temporary and will not significantly affect its revenue.

The FCCPC had earlier directed all digital lenders, including telecom operators, to register under the new rules or face penalties.