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President Bola Tinubu has directed the Federal Competition and Consumer Protection Commission, FCCPC, to break the alleged 12-year monopoly enjoyed by South African technology company, Optasia, in Nigeria’s airtime credit lending and data advance sector.

If successfully implemented, the directive is expected to open up the sector to an estimated N3 trillion in annual revenue opportunities.

The decision followed a comprehensive briefing presented by the FCCPC, ZINGTIE gathered over the weekend.

During the briefing, the Commission reportedly warned the presidency that Optasia’s prolonged dominance of the market had encouraged significant capital flight, with profits amounting to trillions of naira allegedly transferred out of Nigeria yearly while contributing little economic value locally.

Sources familiar with the development claimed the presidency was convinced by the commission’s argument that opening the sector to competition would strengthen Nigeria’s digital economy, generate employment, encourage local innovation, and support the administration’s Nigeria First economic policy.

Checks conducted by ZINGTIE revealed that for over a decade, Optasia, previously known as Channel VAS, has maintained an almost exclusive control of airtime credit and data advance services, particularly on the MTN network and several of its African subsidiaries.

The regulatory agency, FCCPC, expressed concerns that despite the company’s years of market dominance, it has maintained minimal operational presence within Nigeria.

ZINGTIE gathered that Optasia lacks substantial administrative infrastructure in the country, employs very few Nigerians, and does not reportedly share consumer credit data with local credit bureaus or Nigerian financial institutions.

As a result, the FCCPC has reportedly maintained that opening the market to competition would boost local participation, strengthen Nigeria’s fintech ecosystem, create employment opportunities, and reduce the continuous outflow of capital from the country.

Experts who spoke with ZINGTIE anonymously further alleged that the company had relied on a mix of legal actions, lobbying efforts, and pressure tactics over the years to sustain its dominant position in the market, a development regulators believe has hindered competition and restricted opportunities for indigenous technology firms.

Before Tinubu’s directive to the FCCPC, indications reportedly emerged that Optasia attempted to influence the presidency in a bid to maintain its dominant market position beyond legal battles in court.

Apart from obtaining an interim court injunction against FCCPC’s actions, the company was also said to have pursued high-level diplomatic interventions, including alleged attempts to seek the backing of a foreign president to persuade President Tinubu to preserve the status quo, sources revealed.

However, the presidency was said to have resisted the pressure after considering the FCCPC’s economic arguments in favour of deregulation and increased competition.

The Commission believes the reform will reshape a market long controlled by a single foreign operator into a competitive environment capable of creating greater economic benefits for Nigerian businesses, consumers, and the wider economy.

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