The Nigerian Communications Commission (NCC) has instructed telecom operators to disconnect the Unstructured Supplementary Service Data (USSD) codes of nine banks that have failed to settle their debts. This decision comes as part of an ongoing dispute over a staggering N250 billion owed by various financial institutions for USSD services. The banks facing disconnection include some well-known names: Fidelity Bank, First City Monument Bank, Jaiz Bank, Polaris Bank, Sterling Bank, United Bank for Africa (UBA), Unity Bank, Wema Bank, and Zenith Bank. Each of these institutions has been given until January 27, 2025, to clear their outstanding debts or risk losing access to their USSD codes. In a public notice issued by Reuben Muoka, the Director of Public Affairs at the NCC, it was highlighted that as of January 14, 2025, nine out of 18 banks had not complied with the regulatory directives aimed at settling their debts. This situation has escalated tensions between telecom operators and banks, which have been at odds over these unpaid service charges for years USSD codes have become an essential tool for financial transactions in Nigeria, particularly because they allow users to access banking services without needing an internet connection. This is especially crucial in a country where internet access is still limited for many. The NCC’s warning follows months of pressure from mobile operators who have expressed frustration over the unpaid debts, claiming it has adversely affected their businesses. While some smaller banks have begun making payments, larger institutions have been slower to respond. In November 2024, the Association of Licensed Telecom Operators of Nigeria (ALTON) reported that while some progress had been made in debt repayments, major banks still owed significant amounts. The NCC and the Central Bank of Nigeria (CBN) previously issued a joint circular in December outlining a new payment procedure that requires banks to settle 60% of pre-2022 debts by early January 2025 and 85% of USSD debts incurred after February 2022 by the end of December 2024. With the deadline looming, the NCC has made it clear that failure to comply will result in service disruptions for customers. Consumers may be unable to access the USSD platform of the affected financial institutions from January 27.

The National Identity Management Commission (NIMC) has granted the Nigerian Correctional Service (NCoS) the authority to register all 79,518 inmates across the country for National Identification Numbers (NIN). This initiative, announced during a recent visit to NIMC’s headquarters in Abuja, aims to ensure that inmates are not left out of Nigeria’s national development plans. Mr. Sylvester Nwakuche, the Acting Controller General of NCoS, shared that this partnership with NIMC is part of ongoing reforms within the correctional system. He emphasized that registering inmates for NIN will enhance their safety and security while also making it easier to recapture them in case of jailbreaks. “Inmates should be integrated into society,” he stated, noting that many have pursued higher education, including degrees and even PhDs, while incarcerated. Currently, a significant portion of the inmate population, about 53,440 individuals, are awaiting trial. Nwakuche suggested that these individuals should also have a voice in national planning and census activities, as their futures are still uncertain and they deserve a chance to contribute to society Engr. Abisoye Coker-Odusote, the Director-General of NIMC, echoed these sentiments, highlighting the importance of NIN in Nigeria’s broader development agenda. She pointed out that linking NINs to various government services, such as student loans, helps eliminate fraud and ensures that resources reach those who genuinely need them. The collaboration with NCoS is part of a larger effort by NIMC to modernize its services and improve accessibility for all Nigerians. Recently, NIMC announced plans for a new multipurpose national identity card that will not only serve as identification but also facilitate financial transactions. This card aims to help those without any means of identification, particularly in remote areas. As of October last year, NIMC had issued NINs to over 115 million Nigerians and legal residents. With the new initiative to register inmates, this number is set to rise significantly.This step not only represents progress for the correctional system but also underscores Nigeria’s commitment to ensuring that every citizen, regardless of their circumstances, has access to essential services and opportunities for reintegration into society.

The Central Bank of Nigeria (CBN) has imposed hefty fines on nine commercial banks, totaling N1.35 billion. Each bank has been fined N150 million after the CBN conducted spot checks and found that many ATMs were running low on cash during the busy holiday period. The banks affected by this penalty include well-known names such as Fidelity Bank, First Bank, Keystone Bank, and Zenith Bank. The CBN had previously issued clear guidelines to these institutions, urging them to ensure that their ATMs were stocked with sufficient cash to meet customer demand during the yuletide season. Mrs. Hakama Sidi-Ali, acting Director of Corporate Communications at the CBN, reiterated the bank’s commitment to maintaining a steady flow of cash. She stated, “In a clear message of zero tolerance for cash flow disruptions, the Central Bank of Nigeria has sanctioned Deposit Money Banks for failing to make Naira notes available through automated teller machines during the festive season.” The CBN’s actions come after a series of warnings to financial institutions about the importance of ensuring seamless cash availability, especially during high-demand times like the holidays. The fines will be directly deducted from the banks’ accounts at the CBN. In addition to these penalties, the CBN is ramping up its efforts to monitor and address issues related to cash hoarding and rationing at bank branches and Point-of-Sale (POS) terminals. The bank is collaborating with security agencies to combat illegal cash sales and ensure compliance with new withdrawal limits set for POS operators. As part of its ongoing initiatives to promote a cashless economy, the CBN has also implemented daily cash withdrawal limits for customers and POS agents. Customers can now withdraw a maximum of N500,000 per week, while POS agents are limited to N1.2 million in total daily withdrawals. This recent crackdown underscores the CBN’s determination to improve cash circulation in Nigeria and restore trust among customers who have faced disruptions in accessing their funds in recent months. With these measures in place, there is hope for a more reliable banking experience in future holiday seasons, ultimately benefiting both consumers and financial institutions alike

Sterling Bank has announced a 7% salary increase for its more than 3,000 staff members, in a bid to help its employees cope with the rising cost of living. The news was shared in an internal memo earlier this month, marking a significant step as the bank responds to ongoing economic pressures affecting many Nigerians. This salary adjustment is part of a broader trend among banks in Nigeria, which have been reevaluating employee compensation in light of inflation and increased living expenses. Last August, Sterling Bank had already introduced a cost-of-living adjustment (COLA) stipend of ₦75,000 for employees ranging from executive trainees to assistant banking officers. However, it remains unclear if this stipend will continue alongside the new salary structure. While the specifics of the salary increases are not publicly available, insiders indicate that adjustments vary based on employee grade levels. Sterling Bank employs a tiered salary structure that allows for raises within existing grades without necessitating formal promotions. For example, executive trainees will see their monthly pay rise from ₦327,000 to ₦351,000, while senior executives will go from ₦500,000 to ₦527,000. Chibuzo Ihentuge-Eric, an HR professional, explained that during economic downturns, companies often adjust salaries sideways within grade levels rather than promoting employees to higher ranks. This approach helps manage costs while still providing some relief to staff.Despite the raise, some employees expressed disappointment. Many were hoping for increases more in line with those seen at other banks, like Union Bank and GTBank, which raised salaries by 40% late last year. One anonymous employee shared, “Considering inflation and the state of the economy, this feels underwhelming.” Sterling Bank’s profit after tax for the period ending September 2024 was ₦27.4 billion, reflecting a robust 67% year-on-year increase. The bank is projecting ₦121.8 billion in gross earnings for the first quarter of 2025. However, its personnel expenses reached ₦22.6 billion, accounting for about 21.67% of total expenses. If the new salary adjustments increase personnel costs by the usual 10%, this could raise the wage bill to approximately ₦24.86 billion, still one of the lowest among its peers. For context, Union Bank reported personnel expenses of ₦34 billion, while Fidelity Bank and FCMB reported even higher figures While Sterling Bank’s 7% salary increase reflects an effort to support employees amid rising living costs, many staff members feel the adjustment falls short of their expectations. As competition for talent intensifies within the banking sector, the bank faces the challenge of balancing financial sustainability with employee satisfaction. This situation underscores the need for ongoing dialogue between management and staff to ensure that compensation remains competitive and responsive to economic realities.