Nigeria’s most capitalized company, Airtel Africa in its quarterly report has announced that its subsidiary Airtel Nigeria lost N14.1 billion or $34 million in the second quarter (April – June) of 2022 because some of its subscribers have failed to link their National Identity Number to their sims.
The company disclosed that in compliance with the directive by the federal government to restrict unlinked NIN-SIM cards from placing outgoing calls; the operator barred 13.6 million of its customers.
- The report by Airtel Africa further stated that while 5.3 million, or 39% of the 13.6 million have submitted their NIN, 8.3 million have not fulfilled the obligation to regain reconnection.
- Also, of the 5.3 million who have submitted their NIN, only 2.3 million have been verified and unbarred.
What they are saying
Airtel Africa said it has lost “approximately $34m revenue in the quarter and a corresponding impact of 7.5 percentage points on the growth rate.”
- The telecommunication giant also noted that the company is recording an increase in SIM registration, which potentially reduces future financial losses.
What you should know
- The Nigerian government in December 2020 directed all telecom users in the country to link their unique NIN to their SIM cards. The federal government made registration centers available to assist Nigerians who don’t have the unique pin.
- After several pleas by the federal government for Nigerians to link their NIN to their SIM cards, FG directed the telecom operators operating in Nigeria to bar unlinked lines from placing outgoing calls.
The directive by the federal government affected over 75 million mobile users in Nigeria.