MTN : Nigerian Communications Commission’s directive on NIN-SIM linkage

MTN Group Limited

(Incorporated in the Republic of South Africa) (Registration number 1994/009584/06) (Share code MTN)

(ISIN: ZAE000042164) (MTN Group)

Nigerian Communications Commission's directive on NIN-SIM linkage

MTN Group notes the statement issued by the Nigerian Communications Commission (NCC) on 4 April 2022 regarding its decision that all operators will be required to implement restrictions on out-going calls for subscribers whose SIMs are not associated with National Identity Numbers (NINs).

MTN Nigeria subsequently received a formal directive from the NCC to implement a phased suspension of services to affected subscribers, placing them on 'receive only' status with effect from

4 April 2022. In line with operating licence requirements, MTN Nigeria has complied with the directive and implemented the restrictions on only outgoing voice calls of affected subscribers. All other services remain available to all subscribers, including those that are yet to submit their NINs.

MTN Nigeria supports the work being done by the Federal Government of Nigeria to build a reliable and sustainable National Identity Management system, which is a critical enabler that will deliver multiple benefits to the telecoms industry and Nigeria as a whole. It will aid national economic planning and enhance security, governance and service delivery at all levels.

In addition, MTN Nigeria has deployed more than 4 200 points of enrolment across the country to support the NIN enrolment drive. This network continues to be expanded to ensure that enrolment is within reach of all Nigerians. MTN Nigeria also continues to work with the National Identity Management Commission (NIMC) to accelerate the bulk verification of NINs collected.

MTN Nigeria has made good progress with around 47 million subscribers having submitted their NINs by 31 March 2022. This represents approximately 67% of the MTN Nigeria's subscriber base and 76% of service revenue for FY 2021. Outgoing voice revenue from the current subscribers who have not submitted a NIN amounts to about 9% of MTN Nigeria's total FY 2021 service revenue on an annualised basis. For MTN Group, this would amount to approximately 3% of FY 2021 service revenue on an annualised basis.

MTN Nigeria also continues to engage with the NCC and NIMC - including through relevant industry bodies - as it has done since December 2020, when the initial directive to link NIN's to SIMs was made.

MTN Group and MTN Nigeria intend to host a call with investors on 8 April 2022 at 13.30 GMT to update them on this directive. The focus areas of the call are intended to include: details of the NCC directive and how MTN Nigeria has implemented it; estimated timelines for completing the registration of subscribers currently suspended from making outgoing calls, and proforma potential impact on service revenue for FY 2022 given the directive. The call also intends to update on any further information emerging from engagements with the NCC and telecom industry bodies in Nigeria.

Dial-in details for the call are as follows: [phone].

Fairland

6 April 2022

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