The end of the debacle involving MTN Nigeria and the Federal Government of Nigeria (FGN) seems to be finally in sight.

A statement sent to MTN Group shareholders suggests that the operator and the FGN have reached an agreement regarding the amount that MTN would have to pay as part of a fine for not complying with regulations set forth by the Nigerian Communications Commission (NCC).

“MTN Nigeria has agreed to pay a total cash amount of Naira 330 billion over three years to the FGN in full and final settlement of the matter”, the operator announced to shareholders.

The telco also reports that the Naira 50 million it paid in “good faith” in February this year will serve as part of the payment of the final figure bringing the total figure payable to the Nigerian government to Naira 280 billion(R21.1 billion).

This figure will be paid out as follows:

  • Naira 30 billion on 8 July 2016
  • Naira 30 billion on 31 March 2017
  • Naira 55 billion on 31 March 2018
  • Naira 55 billion on 31 March 2019
  • Naira 55 billion on 31 May 2019

The network operator has also said that it will in future, comply fully with the terms of the licensing agreement set out by the NCC.

The MTN Group Executive chairman, Phuthuma Nhleko thanked the FGN for the spirit in which the matter was resolved adding, “this is the best outcome for the Company, its stakeholders, the FGN and the Nigerian people and that the relationship between MTN, the FGN and the NCC has been restored and strengthened.”

[Source – MTN]