MTN units out impression of Nigeria telephone line crackdown

MTN Group on Wednesday moved to reassure nervous buyers {that a} crackdown by Nigerian authorities on unregistered telephone traces won’t have an enormous adversarial impression on its funds.

This comes after MTN shares tumbled 7.8% in Johannesburg on Tuesday as buyers took fright by the choice by the Nigerian Communications Commission (NCC) to order cellular operators within the West African nation to bar outgoing calls from telephone numbers not linked to the nationwide id quantity (NIN) system. The transfer, Nigerian authorities mentioned, was supposed to struggle a scourge of extortions and abductions.

MTN mentioned its Nigerian subsidiary, which is listed in Lagos, has “made good progress” in registering Sim playing cards to the NIN system, with about 47 million subscribers having submitted their NINs by 31 March, representing about 67% of the bottom (and 76% of service income for the 12 months ended 31 December 2021).

“Outgoing voice revenue from the current subscribers who have not submitted a NIN amounts to about 9% of MTN Nigeria’s total FY 2021 service revenue on an annualised basis,” the group mentioned. “For MTN Group, this would amount to approximately 3% of FY 2021 service revenue on an annualised basis.”

MTN Nigeria obtained a proper directive from the NCC to implement a phased suspension of companies to affected subscribers, inserting them on “receive only” standing with impact from 4 April.

“In line with operating licence requirements, MTN Nigeria has complied with the directive and implemented the restrictions on only outgoing voice calls of affected subscribers. All other services remain available to all subscribers, including those that are yet to submit their NINs,” it mentioned.

“MTN Nigeria supports the work being done by the federal government of Nigeria to build a reliable and sustainable national identity management system, which is a critical enabler that will deliver multiple benefits to the telecommunications industry and Nigeria as a whole. It will aid national economic planning and enhance security, governance and service delivery at all levels.”  — © 2022 NewsCentral Media

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