Nigeria’s USSD billing shift may hit gamblers’s pockets
Telecom operators have begun deducting USSD fees from airtime balances, raising concerns for payment-reliant platforms.
Nigeria.- Mobile users in Nigeria are now paying directly for every Unstructured Supplementary Service Data (USSD) service, placing the cost firmly on subscribers. But, the ripple effect could impact gamblers, as even a small charge could disrupt user engagement, and USSD-based payments and deposit flows.
As of June 18, telecom operators began deducting N6.98 per 120 seconds ($0.0045) from users’ airtime balances for USSD access.
The change was confirmed in a joint statement by Gbenga Adebayo, Chairman of the Association of Licensed Telecommunications Operators of Nigeria, and Damian Udeh, the association’s Publicity Secretary.
“USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations,” Adebayo said.
“However, the previous corporate billing model where banks were billed by telecom operators led to prolonged disputes over unpaid charges, service interruptions and uncertainty for customers.”
He noted that customers would receive a prompt to opt-in and approve the charge before deduction, and billing would only occur for successful sessions.
In Nigeria, many betting platforms and sportsbooks depend on USSD for wallet top-ups, account verification, and reaching users with data access. With direct charges now affecting every USSD interaction, players who rely on data or airtime for transactions may hesitate to proceed.
The move could see casino operators moving toward app based and web based payment options or offer airtime-linked bonuses to absorb part of the user’s cost.
While the functionality of USSD banking services remains unchanged, users must now ensure they have sufficient airtime to complete transactions.
The move comes after the Nigerian Communications Commission (NCC), in partnership with the Central Bank of Nigeria (CBN) and key stakeholders, rolled out the End User Billing (EUB) model. This game changing directive shifts the cost of USSD services from banks, who were previously stuck with a staggering N250 billion ($169m) debt, directly onto consumers.
The direct USSD billing model is expected to bring long-term stability to telecom and financial systems. But for digital platforms, the challenge now is maintaining seamless, low-cost user access in a market where every second counts and costs.
