…the Presidency was said to have rejected such pressure after reviewing the FCCPC’s economic argument
ABUJA, NIGERIA- The iNews Times| President Bola Tinubu has reportedly directed the Federal Competition and Consumer Protection Commission (FCCPC) to dismantle the alleged 12-year monopoly enjoyed by South African technology company Optasia in Nigeria’s airtime credit lending and data advance market.
If successfully implemented, the move is expected to open up a sector estimated to generate more than ₦3 trillion in annual revenue, creating fresh opportunities for indigenous technology firms and investors.
The directive reportedly followed a detailed briefing by the FCCPC, which warned the Presidency that Optasia’s long-standing dominance of the market had encouraged significant capital flight, with profits worth trillions of naira allegedly leaving Nigeria each year while contributing limited economic value locally.
Sources familiar with the development said the Presidency was convinced by the commission’s position that increased competition would strengthen Nigeria’s digital economy, encourage innovation, create employment opportunities, and support the administration’s “Nigeria First” economic agenda.
For more than a decade, Optasia, formerly known as Channel VAS, has maintained a dominant position in the airtime credit and data advance business, particularly through its operations on the MTN Nigeria network and several of the telecom giant’s African affiliates.
The FCCPC reportedly expressed concerns that despite its extensive market presence, the company maintains a limited operational footprint within Nigeria.
According to the commission’s findings, Optasia has minimal administrative infrastructure in the country, employs few Nigerian workers, and does not share consumer credit data with local credit bureaus or domestic financial institutions.
Regulators believe that opening the market to more participants would strengthen Nigeria’s growing fintech ecosystem, expand local participation, create jobs, and reduce the continuous outflow of capital from the economy.
Industry sources who spoke anonymously further alleged that the company had, over the years, relied on a combination of legal actions, lobbying efforts, and other pressure tactics to preserve its dominant market position, a situation regulators argue has restricted competition and limited opportunities for local technology companies.
Before the reported presidential directive, indications emerged that Optasia had sought to retain its position through channels beyond the courtroom.
Sources alleged that, in addition to obtaining an interim court injunction against certain FCCPC actions, the company pursued high-level diplomatic interventions, including attempts to secure the backing of a foreign head of state to persuade President Tinubu to maintain the existing arrangement.
However, the Presidency was said to have rejected such pressure after reviewing the FCCPC’s economic arguments in favour of deregulation and greater competition.
According to the commission, the proposed reforms could transform a market long dominated by a single foreign operator into a more competitive ecosystem capable of delivering greater benefits for Nigerian businesses, consumers, and the broader economy.
