Court order MTN, Airtel to restore airtime credit services
By Damilare Adeleye
The Federal High Court in Abuja and Lagos have restrained telecommunications companies from embarking on enforcement actions tied to new digital lending regulations introduced by the Federal Competition and Consumer Protection Commission (FCCPC), signaling potential restoration of the airtime and data credit services.
In a ruling delivered on April 24, 2026, the Federal High Court in Abuja restrained MTN Nigeria Communications Plc and Airtel Networks Limited from suspending or restricting services provided to Nairtime Nigeria Limited pending the determination of a substantive suit challenging regulatory actions linked to digital lending operations.
An interim order contained in a Certified True Copy obtained on Tuesday, followed an ex parte application by Nairtime Holdings Limited and Nairtime Nigeria Limited, who sought judicial protection against what they described as an imminent disruption of their operations by telecom operators.
In Suit No. FHC/ABJ/CS/779/2026, the plaintiffs told the court that the defendants were poised to suspend, discontinue, or otherwise interfere with their access to critical telecommunications infrastructure, including USSD channels, SMS, short codes, and billing systems.
They argued that the proposed action was linked to directives allegedly stemming from the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations 2025.
According to the plaintiffs, such interference would amount to a breach of their contractual and commercial rights.
They emphasised that they operate as licensed Value Added Service providers under valid approvals issued by the Nigerian Communications Commission and had met all contractual obligations, with no notice of breach served by the telecom operators.
In its ruling, the court granted an interim injunction restraining the defendants, stating: “of Interim Injunction restraining the 1st and 2nd Defendants/Respondents, whether by themselves, their officers, servents, agents,or privies from suspending, restricting, discontinuing,or otherwise interfering with the access of the 2nd Plaintiff to their platforms, channeis, short codes, SMS, USSD, billing services and other telecommunications- enabled service and operetions during the subsistence of the 2nd Plaintiff’s valid licence issued by the Nigerian Communications Commission under and by virtue of the Nigerian Communications Act on the basis of the DEON Regulations issued by the Federal Republic of Nigeria”.
The court further held that telecom operators could not disregard agreed contractual notice periods or dispute resolution mechanisms in an attempt to comply with new regulatory directives.
The order covers access to all relevant telecom platforms and services utilised by Nairtime Nigeria Limited in delivering its airtime advance and digital lending products. It also directed that the status quo be maintained pending determination of the substantive suit, citing the subsistence of a valid NCC licence held by the second plaintiff.
Similarly, the Federal High Court in Lagos, in a ruling delivered on April 15, 2026, in Suit No. FHC/L/CS/720/2026, issued similar interim orders against the Federal Competition and Consumer Protection Commission in a case brought by the Wireless Application Service Providers Association of Nigeria.
Justice Ambrose Lewis-Allagoa of the court restrained the commission from enforcing key provisions of the same lending regulations, imposing sanctions, or taking steps that could disrupt the operations of service providers pending the hearing of an interlocutory injunction.
The court held: “an Order of Interim Injunction is granted pending the hearing and final determination of the Motion for Interlocutory Injunction restraining the Defendant whether by itself, officers, employees, agents or such other persons howsoever named from enforcing, implementing and or otherwise giving effect to the enforcement and or implementation of the Digital, Electronic, Online or Non Traditional Consumer Lending Regulations 2025 (“The Deon Consumer Lending Regulations”)or otherwise giving effect to the enforcement and or implementation of paragraphs 3,7,10,12,13,14,15,16,24,27,29 and 32 of the said regulations).
“That an Order of interirm injunction is granted pending the hearing and final determination of the Motion for Interlocutory Injunction restraining the Defendant whether by itself, officers, employees, agents or such other persons howsoever named from taking any steps towards interfering with or preventing the Plaintiff’s members from providing or continuing to provide or deploy any services or product governed by the Digital, Electronic, Online, or Non-Traditional Consumer Lending Regulations 2025 “The Deon Consumer Lending Regulations”.
The rulings come against the backdrop of widespread disruption to airtime credit services. In mid-April, operators including MTN and Airtel suspended offerings such as XtraTime and data credit services, citing compliance requirements under the new regulatory framework introduced by the commission.
The FCCPC had introduced the DEON Regulations in July 2025, extending licensing requirements to digital and non-traditional consumer lending services, including airtime and data credit.
Although compliance deadlines were extended twice, enforcement actions began in April, prompting operators to halt services amid regulatory uncertainty, affecting millions of subscribers who rely on airtime borrowing as a form of short-term credit.