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Nigerians, others buy $3.1bn airtime on credit

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Mobile phone subscribers in Nigeria and other emerging markets borrowed airtime worth $3.18bn on credit in 2025, with Africa accounting for more than 94 per cent of the total, according to the latest financial statements of fintech firm Optasia.

The company’s 2025 consolidated financial statements showed that airtime advances granted through telecom operators rose to $3.18bn last year from $2.83bn in 2024, reflecting a 12.3 per cent increase.

Optasia stated, “Airtime credit services represent service fees charged on airtime credit amounting to $3,176.34m (2024: $2,829.2m) granted to subscribers of the telecom operators during the year.”

Using the exchange rates disclosed in the financial statements, the airtime advances amounted to about N4.61tn in 2025 in naira terms, up from approximately N4.38tn in 2024.

Despite the growth in dollar terms, the naira value rose by a slower pace as the exchange rate strengthened to N1,450.58/$ at the end of 2025 from N1,547.30/$ a year earlier.

The report showed that Africa remained the dominant market for the service, accounting for $2.99bn, or 94.2 per cent, of all airtime credit disbursed in 2025. This was up from $2.53bn recorded in 2024. Europe and Asia accounted for $96.1m, while the Middle East contributed $87.7m.

The figures highlight the growing dependence of millions of mobile users across Africa on small-value digital credit products, particularly in economies where access to formal financial services remains limited, and household purchasing power is under pressure.

Optasia, which provides airtime advances and nano-loan services through partnerships with mobile network operators and financial institutions, said its technology platform assesses subscribers’ behaviour and determines their eligibility for credit.

According to the company, the platform handles “scoring, financial decisioning and disbursements” by analysing subscribers’ credit history and other relevant data before determining the amount of advance that can be granted.

The report explained that the company also assumes part of the credit risk associated with the service. “As part of the airtime credit service, the Group also commits to indemnify the MNO for the amount of advance so granted, in case the subscriber fails to pay the same within a specified period of time from the date of grant of advance,” it stated.

Beyond airtime lending, the company recorded a sharp increase in nano-loan transactions during the year. Its Mobile Financial Services segment facilitated nano-loans worth $2.30bn in 2025, more than double the $967.9m recorded in the previous year.

Africa accounted for $1.41bn, representing 61.4 per cent of the total, while Europe and Asia contributed $888.9m. The company said the loans were provided through arrangements involving telecom operators and financial institutions, with its proprietary platform supporting credit scoring, approvals, disbursements and collections.

The growth in airtime lending and nano-loan transactions boosted the firm’s earnings during the year. Revenue rose by 75.5 per cent to $265.36m in 2025 from $151.19m in 2024. Mobile Financial Services contributed $167.53m to revenue, while airtime credit services generated $96.86m.

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Africa remained the company’s biggest revenue source, contributing $234.81m, or 88.5 per cent of total revenue, compared with $121.31m in the previous year. Europe and Asia generated $25.43m, while the Middle East accounted for $5.12m.

Profit after tax increased to $43.13m from $36.23m in 2024, while total assets more than doubled to $302.17m from $141.79m.

The company described itself as “an analytics technology services provider in the fintech sector offering its services to large mobile telecom operators to provide airtime/data credit, micro- and nano-cash loans to underbanked populations in the emerging markets.”

According to the financial statements, Optasia operates across more than 25 countries, including Nigeria, South Africa, Ghana, Tunisia, Algeria, Zambia, Uganda, Rwanda, Ethiopia, Egypt, Benin, Côte d’Ivoire, Liberia, Lesotho, Mozambique, Pakistan, Bangladesh, Myanmar, Indonesia, Malaysia, Qatar, Brazil, Greece, Cyprus and the United Arab Emirates.

However, the report showed that Africa remained the dominant market for the firm, with operations in 16 African countries, including Nigeria, South Africa, Ghana, Egypt, Ethiopia, Algeria and Zambia.

The financial statements also showed that Optasia has a direct operating presence in Nigeria through two wholly owned subsidiaries, Nairtime Nigeria Limited and Xtra MFS Nigeria Limited.

Both entities are listed as Nigerian subsidiaries, with Optasia holding a 100 per cent beneficial ownership stake in each company. Nairtime Nigeria Limited was incorporated in 2012, while Xtra MFS Nigeria Limited was incorporated in 2019.

Although the company did not disclose separate revenue or profit for its Nigerian operations, the report suggests that Nigeria remains one of its more significant African markets. The report showed that Nigeria was material to Optasia’s foreign exchange exposure, with the Nigerian naira listed among the currencies that expose the group to currency risk.

Under its financial risk management note, the company stated that it was exposed to currency risk on revenues, expenses and intercompany transactions denominated in currencies outside its functional currency.

It listed the Nigerian naira alongside the euro, Congolese franc, Tanzanian shilling, South African rand, Zambian kwacha and Ghanaian cedi. As of December 31, 2025, Optasia reported total naira-denominated assets of N19.72bn and naira-denominated liabilities of N357.09m, leaving a net naira exposure of N19.37bn.

This was lower than the N25.03bn net naira exposure recorded in 2024, when naira-denominated assets stood at N25.11bn and liabilities at N81.01m. The decline means the group’s net naira exposure fell by N5.66bn, or 22.6 per cent, year-on-year.

However, the remaining N19.37bn exposure still makes Nigeria one of the company’s major currency-risk markets, meaning movements in the naira can affect the value of its earnings, assets and liabilities when translated into dollars.

Optasia also disclosed that a five per cent movement in the dollar against the naira would have affected equity by $668,000 in 2025, compared with $809,000 in 2024. This means the company’s sensitivity to naira movement reduced during the year, in line with the fall in its net naira exposure.

At the end of 2025, Nigeria accounted for $7.73m in gross trade receivables, more than double the $3.80m recorded a year earlier. The increase of 103.6 per cent was one of the strongest among the group’s disclosed markets, indicating a substantial rise in transaction activity and outstanding balances linked to Nigerian operations.

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The report also highlighted the company’s exposure to Nigeria’s financial system through naira-denominated credit facilities obtained from local banks. According to the financial statements, Optasia maintained an invoice discounting facility and a cash-backed term loan facility in Nigeria, both denominated in naira and carrying interest rates of 30 per cent per annum.

While the facilities were not utilised as of December 31, 2025, they demonstrate the company’s access to local currency funding to support its operations in the country. Nigeria also featured prominently in the company’s discussion of its investment in Quickcheck Holding Limited, a digital lending business in which Optasia holds a 10.05 per cent stake.

The report noted that Quickcheck is “primarily exposed to operations in Nigeria”, making developments in the Nigerian economy important to the investment’s performance.

In its assessment of the investment, the company pointed to policy measures introduced by the Central Bank of Nigeria and broader economic reforms as factors supporting a more stable operating environment.

The report stated that recent policy actions by the CBN, alongside improved oil revenues and narrowing foreign exchange risk spreads, were early indicators of macroeconomic stabilisation.

It added that these developments could help strengthen local-currency earnings and reduce the impact of foreign exchange volatility on businesses operating in Nigeria.

The report further shows that telecom-linked lending is becoming an increasingly important source of short-term financing for underbanked consumers, particularly in Africa, where mobile phone penetration significantly exceeds access to formal banking services.

However, the rapid growth of digital lending also carries rising credit risks. The company’s provision for expected credit losses on financial guarantee contracts climbed to $65.21m in 2025 from $33.42m a year earlier, reflecting the growing exposure associated with airtime advances and nano-loan products.

Despite the higher risk provisions, the strong growth in transactions, revenue and profitability indicates that demand for small-ticket digital credit remains robust across the markets in which the company operates.

However, in Nigeria, Optasia faces a push by the Federal Government to open the country’s airtime credit and data advance market to indigenous fintech firms.

Reports claimed that the Presidency backed regulatory efforts championed by the Federal Competition and Consumer Protection Commission to dismantle what it described as Optasia’s 12-year dominance of the sector, arguing that broader participation would promote competition, support local content development and reduce capital flight.

According to recent reports, the FCCPC convinced the Presidency that the current market structure had limited opportunities for Nigerian firms while enabling significant profit repatriation abroad.

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However, the FCCPC has distanced itself from reports that it recommended the opening of the airtime credit market to nine new operators or submitted the names of local fintech firms to the Presidency for approval.

In a statement issued recently, FCCPC Director of Corporate Affairs, Ondaje Ijagwu, said the commission was neither aware of nor involved in the claims attributed to it, describing reports linking it to the alleged approvals as inaccurate.

“The commission wishes to state clearly that it is not aware of, and was not involved in, the claims attributed to it in the report absolutely,” Ijagwu said.

The reports had alleged that President Bola Tinubu approved plans to restructure the airtime credit market and endorsed the participation of nine Nigerian fintech firms.

However, the FCCPC maintained that it had no involvement in any such approvals and noted that the regulatory framework under which the firms were reportedly approved remains suspended.

According to the commission, implementation and enforcement of the DEON Consumer Lending Regulations 2025 were halted following an interim injunction granted by the Federal High Court in Lagos on April 15, 2026, in a suit filed by the Wireless Application Service Providers Association of Nigeria.

The commission said it remained bound by the court order pending the determination of the substantive case, which is scheduled for further hearing on July 20, 2026.

The FCCPC’s position leaves unresolved the basis of the earlier reports that detailed alleged policy proposals, market reforms and a list of companies said to have been approved to participate in the airtime credit market.

The Presidency has yet to publicly comment on whether any directive relating to the DEON framework or the sector was issued, further depending the controversy around airtime lending.

The controversy began in April when MTN, Airtel, Glo and T2mobile suspended airtime credit offerings following an FCCPC directive requiring compliance with the DEON framework.

The commission had classified airtime credit as a form of consumer lending, bringing it under regulations originally designed to address abuses by digital lending platforms. The move sparked a regulatory dispute with the NCC, which oversees telecommunications services under the Nigerian Communications Act 2003.

However, airtime and data credit services gradually have been restored across Nigeria’s telecommunications networks after weeks of disruption that affected millions of subscribers.

The Association of Licensed Telecommunications Operators of Nigeria earlier applauded the FCCPC for suspending the enforcement of the Digital, Electronic, Online, or Non-traditional Consumer Lending regulations against telecommunications operators, describing the move as a major boost for regulatory certainty and investor confidence in the sector.

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My customers taught me Yoruba – London trader, ‘Olakunle Oshodi’

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You are an Iraqi based in London, United Kingdom, how did you learn to speak Yoruba?

I trade at Woolwich Market. That is where I work and where I started meeting many Nigerian customers, especially Yoruba people.

Many of the Nigerians I met at the market spoke Yoruba when they came to buy things from me. At first, I did not understand what they were saying, so I became curious and started asking them to interpret the words they used. That was how I gradually started learning Yoruba from my customers.

What do you sell?

I used to sell pepper and fruit, but now I sell cosmetics and hair. My business has changed over time, but I have continued interacting with many Yoruba customers at the market. Through those interactions, I have also continued learning the language.

How did you first become interested in the Yoruba language?

About 95 per cent of my customers are Yoruba. Whenever they came to buy things, they would speak Yoruba to me. Instead of just listening to them, I started asking questions whenever I heard words I did not understand. I would ask them what the words meant, and that was how I learnt little by little.

The more I listened to them, the more interested I became. I started enjoying the language because I think Yoruba is a sweet language. That was what encouraged me to keep learning it.

What do you like about the Yoruba language?

I like the way the language sounds. For me, it is an interesting language, and because I hear my customers speak it regularly, it became easier for me to pick it up. I also like the way Yoruba people communicate with me when they come to the market.

How did you get the name “Olakunle Oshodi”?

Oh, one of my customers gave me the name. She is a lovely person, and she is Yoruba. She said the name was good for me, and that was how I got the name “Olakunle Oshodi.”

Do you have any family connection to Nigeria?

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No, I don’t have any family connection to Nigeria. I have never even been there. My connection with Yoruba came through my customers and the people I have met at the market.

How long have you been learning Yoruba?

It has been about three years. I can speak it because I really like the language, so it has not been that hard for me. I have been learning mainly through my customers and through everyday conversations at the market.

What made you decide to speak Yoruba with your customers?

Basically, I just wanted to learn. You know, Yoruba people joke with you and laugh with you. They want happiness, and they are not fake. That is why I love them.

When they come to the market, there is always a lot of interaction. They joke, laugh, and make you feel comfortable. So, for me, learning the language became a way of connecting with them better.

Yoruba people are lovely. Even when wahala comes sometimes, they are still just lovely. I enjoy the way they joke and laugh with you. They want happiness, and that is something I really like about them.

Being around them has also helped me learn more about the language because I speak Yoruba almost every day with my customers. The more I interact with them, the more I learn.

Has speaking Yoruba affected your business?

Yes, it has made the business grow. Speaking Yoruba has helped me connect with my customers better, and I believe that has been good for my business.

When customers realise that I can speak their language, it creates a different kind of relationship. We can joke together, laugh together, and communicate more easily.

How do customers react when they realise that you can speak Yoruba?

They are shocked, and they laugh. I see them happy, and I laugh with them. Sometimes, you can see that they did not expect a white man to speak Yoruba, so their reaction is usually one of surprise. Most of the time, they are not expecting it at all, especially when they first hear me respond to them in Yoruba.

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I enjoy seeing their reaction because you can immediately see the happiness on their faces. Sometimes, they will look at me again as if they are trying to confirm whether I really understand what they are saying. It is always a funny and enjoyable moment for me.

Speaking Yoruba also makes the interaction more relaxed. Instead of just being a customer-and-trader relationship, we can joke together, laugh together, and have a better conversation. I enjoy that connection with them. I laugh with them because it makes the interaction more enjoyable, and I am happy when I see that they appreciate my effort to speak their language.

What goes through your mind when customers are surprised by your Yoruba?

I just enjoy the moment. They are shocked and laughing, and I see that they are happy. So, I laugh with them. For me, it is a nice experience because it shows that they appreciate the fact that I am trying to speak their language.

Has speaking Yoruba helped you gain your customers’ trust?

Yes, 100 per cent. I’m always with them. I spend a lot of time interacting with my customers at the market, so speaking Yoruba has helped me become closer to them. When I speak their language, they know that I am making an effort to understand them and communicate with them in a way that makes them comfortable.

I am not just there to sell something to them; I enjoy being around them and having conversations with them. That connection is important to me.

Have you ever had a funny experience while speaking Yoruba?

Yes, I have. They say, “Ah-ah!” when I speak. They are usually surprised when they hear me speaking Yoruba, and that reaction can be funny.

Sometimes, they cannot believe what they hear. They will react with “Ah-ah!” because they did not expect me to speak the language.

Even though sometimes wahala can come, it is still just lovely being around them. My experience with them has been positive, and they have also played an important role in helping me learn the language.

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Do you think your customers have also enjoyed teaching you Yoruba?

Yes, because most of what I know came from interacting with them. When they speak Yoruba and I do not understand a word, I ask them what it means. That is how I learn.

It has been a gradual process. I listen, ask questions, and then try to use the words when I speak to them. I enjoy the learning process.

What are you looking forward to about visiting Nigeria?

As I said earlier, I have never been to Nigeria, but I have plans to go. I have not had the opportunity to visit yet, even though I have developed such a strong interest in the Yoruba language and culture.

I have a plan to go. I have never been there before, so I would like to experience the country and meet more people. I have learnt Yoruba mainly from people in London, so visiting Nigeria would allow me to experience the language and culture differently.

What does Yoruba culture mean to you?

I love the culture. I love Yoruba natives. My connection with Yoruba has grown through the people I meet and the language I have learnt from them. Even though I have never been to Nigeria, I have developed a love for the culture through my customers and the people around me.

What would you like Yoruba people to know about your connection with their language?

I want them to know that I love all of them, and I want to learn more of the language if I can. I speak well, but I only need time. One day, they will see. I want them to know that my interest in Yoruba is genuine. I did not learn it because somebody forced me to; I learnt it because I met Yoruba people, I enjoyed being around them, and I fell in love with the language.

Source: punchng.com

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Tax reform has reduced burden on low-income earners — Revenue board

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The Joint Revenue Board has said Nigeria’s tax reform has reduced the burden on low-income earners and eliminated multiple nuisance taxes.

The Executive Secretary of the JRB, Olusegun Adesokan, stated this while giving an overview of the progress recorded one year into the implementation of the tax reform.

In a post obtained from the board’s X handle on Friday, Adesokan spoke at the 160th meeting of the JRB in Kaduna State, with the theme, “One Year of Reform: Assessing Progress and Addressing Challenges.”

He said the reform had also provided relief for low-income earners and micro-scale businesses, contrary to concerns that it had increased the tax burden.

“Addressing the misconception that the tax reform has increased taxes, the reform has rather reduced the tax burden on low-income earners, eliminated multiple nuisance taxes while providing reliefs for low-income earners and micro-scale businesses,” he said.

Adesokan said 18 state Houses of Assembly had domesticated the model harmonised taxes and levies law, which was designed to address overlapping and multiple taxation across the country.

According to him, the legislation had reduced more than 50 collection items previously administered by states and local government areas to nine sub-heads.

He added that the law had also abolished cash collection and the mounting of roadblocks for revenue collection.

The Executive Secretary said the measures had recorded significant progress in harmonising taxes and levies across the subnational governments.

The JRB, Nigeria’s apex body for revenue administration, convened the meeting to assess progress under the new revenue regime, identify gaps, and address emerging challenges.

The meeting was declared open by the Kaduna State Governor, Senator Uba Sani, who said the reform had expanded opportunities for domestic resource mobilisation and strengthened the country’s capacity to finance development.

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Sani urged the JRB to identify bottlenecks affecting revenue collection, institutional weaknesses creating friction between revenue authorities and taxpayers, and opportunities for technology to improve efficiency in revenue administration.

He said, “The objective of the reform should not be simply to collect revenue; it should be to build a tax system in which compliance becomes easier, enforcement becomes more intelligent and voluntary compliance becomes a norm.”

The Executive Secretary appreciated Governor Uba Sani for hosting the 160th JRB meeting and for his consistent support of the tax reform initiative. He particularly commended the governor for nominating a member of the Board and outgoing Executive Chairman of Kaduna State Internal Revenue Service, Mr Jerry Adams, as his running mate for the 2027 gubernatorial election.

Sani expressed his delight with the tax reform, stressing that apart from eliminating duplication of taxation, it has enhanced revenue generation.

He observed that the national tax revenue has so far risen to N21.6 trillion since President Bola Tinubu introduced tax reform in 2026.

According to him, the nation’s revenue was  approximately ₦10.1 trillion in 2023,  ₦21.6 trillion in 2024, and about ₦36.8 trillion in 2025.

In his opening remarks, JRB Chairman, Dr Zacch Adedeji, represented by the Executive Director, Finance and Corporate Services, Nigeria Revenue Service, Muhammad Abubakar, said the meeting was a call for revenue authorities to take stock of the progress made, address identified gaps and confront emerging challenges.

He said the ultimate measure of the reform’s success must be improved revenue mobilisation, greater compliance, a better taxpayer experience, and stronger contributions to national development.

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Source: punchng.com

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Rivers oil tragedy: 37 die from toxic fumes

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About 37 persons have reportedly died after inhaling fumes from a petroleum product at a jetty in Okrika Local Government Area of Rivers State.

The incident occurred on Thursday at the Okari Jetty in the Okrika Mainland area, where youths from Okrika and neighbouring communities had reportedly gathered to load a petroleum product from an illegal tapping point.

Many others were said to be missing following the incident, which occurred in the mainly coastal community.

A source in the community told our reporter that more than 100 persons had stormed the jetty with locally made boats while a vessel was anchored at the riverside to load petroleum products.

The source said trouble started while the youths were loading the product, as a strong smell suddenly saturated the air, causing several of them to collapse.

“Many of them collapsed into the river, while others who managed to escape the scene had serious respiratory disorders and were being treated at the hospital.

“As I speak to you, over 37 bodies were identified as Okrika people, while six others were yet to be identified and many are still missing,” the source, who pleaded anonymity, said.

The Youths and Environmental Advocacy Centre also confirmed the incident, saying its network of youth volunteers and human rights defenders in the Niger Delta had reported that no fewer than 37 persons suspected of involvement in illegal oil activities died after inhaling what was locally referred to as “Indorama fuel.”

The Executive Director of YEAC-Nigeria, Dr Fyneface Dumnamene, said in a statement that the incident occurred at about midnight on Thursday at the Okari Jetty.

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“According to the report, no fewer than 37 persons suspected to be oil thieves died after inhaling what is locally called ‘Indorama Fuel.’

“Many others are still missing. The incident occurred during the illegal loading of the product into a ship at a tapping point,” he said.

Dumnamene said the victims had connected a pipe to a tapping point on a pipeline that transported petroleum products from the Indorama Eleme Petrochemical through the Port Harcourt Refinery to vessels that reportedly came every two weeks to load products for export.

He added that the youths inhaled the product while a vessel was loading and they were simultaneously loading it into their waiting boats from the illegal tapping point.

“This led to the death of not fewer than 37 persons. Many are still missing, and some corpses have been seen floating on the river but have not yet been recovered,” he stated.

Dumnamene called on the National Oil Spill Detection and Response Agency to immediately conduct a joint investigation visit to the site of the incident.

He also urged the company that owned the vandalised facilities to provide adequate security for its pipelines to prevent a recurrence.

The YEAC-Nigeria boss condemned the alleged sabotage, warning youths to stay away from oil and gas infrastructure because of the dangers associated with high-pressure pipelines.

He also called for alternative livelihood opportunities for youths in the Niger Delta, including the establishment of modular refineries and the legalisation of artisanal refining.

When contacted, the spokesperson for the Rivers State Police Command, Blessing Agabe, confirmed the incident and said the victims were reportedly attempting to steal crude oil.

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Agabe, an Assistant Superintendent of Police, said no official complaint had been lodged with the command but added that an investigation had commenced.

“The suspects reportedly died in the process of attempting to steal crude oil. However, no official complaint has been received in connection with the incident at this time.

“Investigation is ongoing to establish the circumstances surrounding the incident and ascertain the facts,” the police spokesperson stated.

However, the Commander of the Civilian JTF in Okrika LGA, Igwe Godswill, gave a different account of the incident, saying the victims had gone to scoop petroleum products that had spilled into the river when they were allegedly overwhelmed by fumes from a vessel loading products at the jetty.

Godswill described the incident as tragic, saying most of the victims were youths searching for means of livelihood amid a lack of employment opportunities.

“It is so pathetic that this incident is happening in our community. These are young guys who have gone to search for their daily bread, only for the fumes from the fuel that was pumped to kill so many of our youths under the bridge.

“Many of them were choked to death. These are not criminals or anything, but they went out in search of their daily meal. I am advising the community, the leaders and every other person that we need legitimate jobs in the community.

“These things are risky, but when you cannot feed your children, most times, those risky jobs become the only option,” Godswill stated.

He explained that the victims had gone to scoop petroleum products floating on the water when they were overcome by fumes from a vessel loading petroleum products at the jetty.

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Godswill, however, said about 10 bodies had been recovered, adding that only some of the victims could be identified because of the condition of their remains.

He said, “We saw about 10 of them. Four were still unrecognisable, while four persons were identified. The rest could not be identified because their bodies were badly damaged and their faces were severely affected.”

The Civilian JTF commander called on the Rivers State Government, community leaders and other relevant authorities to create employment opportunities for youths in the area to discourage them from engaging in dangerous activities.

“I am calling on the relevant authorities, community leaders, the chairman and every other person to look into this. It is not enough to stop them because, yes, it is a risky job, but they should create jobs for the youths so that everybody will have something to eat.

“Something that can put food on the tables of these young men, the youths and every other person. I can tell you for free that it will not just stop because when that source is the only livelihood, people will still go there.

“Even as of yesterday, people still went there, despite the fact that we had confirmed that people had died from the same activity. So, we are calling on the leaders to look into it and see how they can create job opportunities, especially for the youths,” Godswill added.

Source: punchng.com

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