Court Halts FCCPC Regulations, Restores Airtime Borrowing

The Federal High Court in Lagos issued an interim order that temporarily halts the enforcement of the Federal Competition and Consumer Protection Commission (FCCPC) regulations regarding airtime borrowing. This decision allows major telecom operators, including Airtel and Glo, to reactivate their airtime lending services, which are vital for millions of subscribers, particularly low-income earners and traders who rely on these services for daily transactions.

The FCCPC had introduced regulations set for 2025 to formalize digital lending services, arguing that airtime credit falls under consumer lending rules designed to protect users from data abuse and unfair charges. However, telecom stakeholders, including the Association of Licensed Telecommunications Operators of Nigeria (ALTON), opposed these regulations, claiming they disrupt existing telecom services.

The court's order also involves potential contempt proceedings against FCCPC officials, including Executive Vice Chairman Tunji Bello. The outcome of this legal challenge will determine the future regulatory framework for airtime borrowing in Nigeria.