MTN Group has officially released its quarterly update for the period ended 31 March 2016.
The company revealed that it has cut down about 4.5 million subscribers in Nigeria, in order to comply with the country’s regulators.
MTN declares that it’s taking no risks regarding unregistered sim cards in Nigeria.
“During the first quarter of 2016, the group was impacted by the after shocks of the events that took place towards the end of 2015, mainly the subscriber registration process in many of the countries in which we operate, with Nigeria being the largest,” says Phuthuma Nhleko, MTN Group Executive Chairman.
“In order to mitigate any future regulatory challenges, the group took an exceptionally conservative stance by disconnecting all subscribers who could possibly be deemed to be non-compliant,” says Nhleko.
“This has had a significant unfavourable impact on total subscriber growth and revenue in Q1 16. Nonetheless, we believe this resolve to address compliance matters decisively, has put the Group on a solid footing as regards the subscriber registration process and regulatory matters in general,” says Nhleko.
MTN has lost 6.9% of its marketshare.