Deposit Money Banks (DMBs) in Nigeria, including Guaranty Trust Bank (GTBank) and Ecobank, implemented a 50% increase in SMS transaction alert fees, raising the cost from N4 to N6 per message for GTBank and from N5 to N6 for Ecobank, as announced in customer notifications on April 30, 2025, per Legit.ng, Sahara Reporters, and Daily Trust. The adjustment, affecting banks like Globus and Zenith, stems from a 50% telecom tariff hike approved by the Nigerian Communications Commission (NCC) on January 20, 2025, the first in over a decade, to address rising operational costs for telecom operators like MTN, Airtel, Globacom, and 9mobile, per Intel Region and Technext24.
GTBank’s email to customers stated, “Please be informed that effective Thursday, May 1, 2025, the SMS transaction alert fee will increase from N4 to N6 per message. This adjustment is due to a recent increase in telecom rates as communicated by the telecommunication service providers,” emphasizing the role of SMS alerts in monitoring account activities and enhancing security, per Business Post Nigeria and TheStar. Ecobank’s message noted, “The cost of SMS notifications will increase from N5 to N6, effective May 1, 2025, due to a revised tariff,” assuring customers of continued service quality, per Legit.ng. Both banks offered opt-out options for SMS alerts, with GTBank directing customers to update preferences via a website form sent to gtbankmailsupport@gtbank.com, per Naija News.
The NCC’s approval followed telecom operators’ petitions for a 100% tariff increase, citing naira depreciation, soaring energy costs (diesel prices rose from N230 pre-COVID to over N1,000 in 2024), and frequent fibre-optic cable disruptions, per Technext24. The moderated 50% hike, effective February 11, 2025, raised SMS charges from N4 to N6, voice calls from N11 to N16.25 per minute, and data plans like MTN’s 1.8GB monthly plan from N1,000 to N1,500, per Intel Region. MTN Nigeria reported a N514.9 billion loss in 2024’s first nine months, while Airtel Africa recorded an $89 million loss, underscoring the sector’s financial strain, per Technext24.
Public reaction, reflected in X posts, showed frustration, with @info_deuth criticizing banks for profiting from customer funds yet charging for alerts, stating, “You take my money, trade with it, flip it for billions then charge me to notify me that you’re using my money?” per post:2. @FolaJayden suggested switching to free email alerts, per post:7. The House of Representatives urged the NCC to halt the hike on April 30, citing economic hardship with 34.8% inflation, but the increase proceeded, per InformationNG. The Association of Telecommunications Companies of Nigeria projected the hike could unlock $150 million in network investments, expanding 4G coverage to 94% of the population, per Technext24.
The fee adjustment, while optional with email alerts as a free alternative, adds to consumer burdens amid rising living costs, with banks defending the move as necessary to align with telecom tariffs, per Daily Trust and Sahara Reporters.
Leave a comment