The Central Bank of Nigeria (CBN) and Nigerian Communications Commission (NCC) have issued a joint directive requiring banks and telecom operators to settle their N250 billion dispute over USSD banking services.

In a December 20, 2024 circular signed by CBN's Acting Director of Payments System Management, Oladimeji Taiwo, and NCC's Head of Legal Services, Chizua Whyte, the regulators outlined a detailed settlement plan.

Under the new directive, banks must pay telecom operators 60% of all debts incurred before the implementation of API systems. These payments must be arranged by January 2, 2025, with full settlement required by July 2, 2025 if paying in installments.

For debts accumulated after February 2022, when APIs were introduced, banks must pay 85% of outstanding invoices by December 31, 2024. Going forward, 85% of new invoices must be paid within one month of issuance.

The regulators introduced additional measures to prevent future disputes:

- A "10-second rule" that prevents charging for USSD sessions under 10 seconds

- Transition to end-user billing for compliant banks and telecom operators

- Required public awareness campaigns about the changes

- Mandatory discontinuation of all related legal proceedings

The CBN and NCC emphasized that non-compliance will result in sanctions, demonstrating their commitment to resolving this long-standing industry dispute.

This joint directive aims to end years of disagreement between banks and telecom companies over USSD payment charges, which has threatened the stability of Nigeria's digital banking infrastructure.​​​​​​​​​​​​​​​​