NIN-SIM verification costs Nigerian telcos 64.3 million subscribers

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  • The recent National Identification Number (NIN)-SIM verification exercise has caused Nigerian mobile network operators to lose 64.3 million subscriptions, as the Nigerian Communications Commission (NCC) concluded the programme on September 14, 2024. 
  • The verification, aimed at linking SIM cards with verified NINs to improve security and user accountability, saw major subscription losses across the nation’s top telecoms — MTN, Airtel, Globacom, and 9Mobile. 
  • Globacom and 9mobile were hit hardest, with Globacom’s active subscriptions dropping from 62.1 million in March to just 19.1 million by the end of September, losing over 43 million users. 9mobile faced similar declines, going from 11.6 million subscribers to only 3.6 million. 

Meanwhile, MTN and Airtel, though also impacted, maintained their top market positions. MTN retained a lead with 78 million active subscriptions despite losing 3.7 million subscribers, and Airtel ended the quarter with 53.7 million users, shedding about 9.6 million subscriptions.

The sharp drop in subscribers is expected to influence Q3 2024 revenue for the telecoms, particularly as many lost subscriptions came from “low-value” customers, per MTN Nigeria’s earlier disclosures. 

In a previous quarterly report, Airtel Africa projected potential revenue losses of up to $4 million per month due to the verification. However, the telco emphasised that the exercise would lead to a more sanitised and compliant customer database.

NCC Executive Vice Chairman Dr Aminu Maida highlighted that this clean-up means every active line in Nigeria is now linked to a verified NIN. He indicated that this measure strengthens security, as authorities can track SIM cards involved in fraudulent activities. 

Some telecom experts also support the move, believing it promotes responsible network usage and opens new avenues for law enforcement to leverage this verified database to improve national security.

The NIN-SIM verification mandate began in December 2020, with multiple extensions and deadlines given before the final September 14 cutoff. The delays led to chaos at telecom outlets, with customers scrambling to verify their NINs in time. 

Earlier this year, telecom operators were temporarily ordered to halt SIM deactivations. But the recent strict deadline allowed the government to proceed with final disconnections, resulting in a significant subscriber drop.

With the industry preparing for post-verification adjustments, stakeholders are optimistic that this initiative will secure telecom infrastructure and streamline revenue models by focusing on verified, high-value customers.

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