In a recent development that has sparked widespread attention among its customer base, First Bank of Nigeria Limited, one of Nigeria’s leading financial institutions, has confirmed a temporary disruption in its mobile and Unstructured Supplementary Service Data (USSD) banking services. The announcement, made on September 4, 2025, comes as the bank works diligently to address technical issues affecting its digital platforms, which have impacted customers’ ability to access seamless banking services. This article provides a comprehensive overview of the disruption, First Bank’s response, the broader context of digital banking in Nigeria, and the implications for customers and the financial sector.
Details of the Service Disruption
First Bank of Nigeria Limited, a tier-1 bank with a storied history dating back to 1894, issued a public statement acknowledging challenges with its mobile banking app and USSD platform. The bank disclosed that customers might experience difficulties performing transactions through these channels due to ongoing technical issues. While the exact nature of the disruption was not detailed, it is understood to involve glitches that have affected the functionality of the FirstMobile app and the USSD code *894#, which are critical tools for millions of customers conducting transactions such as fund transfers, bill payments, and airtime purchases.
The bank’s statement emphasized its commitment to resolving the issue promptly, assuring customers that its technical teams are working around the clock to restore full functionality. “We are aware of the disruptions in our mobile and USSD services and sincerely apologize for any inconvenience caused,” the bank stated. “Our teams are actively addressing the issue, and we aim to restore seamless service as soon as possible.” First Bank also encouraged customers to utilize alternative channels, such as its Automated Teller Machines (ATMs), internet banking platform, and physical branches, to carry out their transactions while the issue is being resolved.
The disruption has affected a wide range of customers, from individual account holders to small and medium-sized enterprises (SMEs) that rely on First Bank’s digital platforms for daily financial operations. Given the bank’s extensive customer base—reportedly over 30 million accounts—and its significant role in Nigeria’s financial ecosystem, the outage has generated considerable concern and discussion on social media platforms, particularly on X, where customers have voiced frustrations and sought updates on the restoration timeline.
First Bank’s Response and Mitigation Efforts
First Bank’s proactive communication regarding the service disruption reflects its commitment to transparency and customer satisfaction. By promptly acknowledging the issue and providing alternative channels for transactions, the bank has sought to mitigate the impact on its customers. The recommendation to use ATMs, internet banking, and physical branches demonstrates the bank’s multi-channel approach to service delivery, ensuring that customers have options to continue their banking activities.
The bank’s technical teams are reportedly working in collaboration with its technology partners to diagnose and resolve the underlying issues. While no specific timeline for full restoration was provided in the initial statement, industry analysts suggest that such disruptions are often caused by system upgrades, cybersecurity measures, or unexpected technical glitches, which can typically be resolved within hours to a few days. First Bank’s assurance of a swift resolution indicates confidence in its ability to address the problem efficiently.
In addition to its public statement, First Bank has likely deployed its customer service teams to handle inquiries and complaints related to the disruption. The bank’s call centers, social media handles, and branch staff are expected to play a critical role in managing customer concerns and providing real-time updates. This multi-faceted approach underscores First Bank’s commitment to maintaining trust and reliability, even in the face of technical challenges.
The Broader Context: Digital Banking in Nigeria
The disruption at First Bank must be viewed within the broader context of Nigeria’s rapidly evolving digital banking landscape. Over the past decade, Nigeria has witnessed a significant shift toward digital financial services, driven by increasing smartphone penetration, improved internet access, and growing consumer demand for convenience. According to the Central Bank of Nigeria (CBN), the value of electronic transactions in the country exceeded ₦500 trillion in 2024, with mobile banking and USSD platforms accounting for a substantial portion of this volume.
First Bank has been at the forefront of this digital transformation, with its FirstMobile app and *894# USSD code becoming popular tools for customers. The FirstMobile app allows users to perform a wide range of transactions, including fund transfers, bill payments, loan applications, and account management, from the convenience of their smartphones. The USSD platform, designed for feature phones and areas with limited internet access, has been particularly impactful in promoting financial inclusion, enabling millions of Nigerians—especially in rural areas—to access banking services without visiting a physical branch.
However, the rapid adoption of digital banking has not been without challenges. Nigeria’s financial institutions frequently grapple with technical issues, including system downtimes, cybersecurity threats, and infrastructure limitations. These challenges are compounded by the country’s unreliable power supply and inconsistent internet connectivity, which can exacerbate disruptions in digital services. For instance, in 2024, several Nigerian banks reported similar outages due to system upgrades or cyberattacks, highlighting the vulnerabilities inherent in the country’s digital banking ecosystem.
Impact on Customers and Businesses
The temporary disruption in First Bank’s mobile and USSD services has significant implications for its customers and the broader financial ecosystem. For individual customers, the outage may disrupt daily financial activities, such as paying bills, purchasing airtime, or transferring funds to family and friends. This is particularly inconvenient for customers who rely exclusively on digital channels and may not have easy access to ATMs or physical branches, especially in remote areas.
For businesses, particularly SMEs that depend on First Bank’s platforms for payroll, vendor payments, and other transactions, the disruption could lead to delays and operational inefficiencies. Nigeria’s SME sector, which accounts for nearly 50% of the country’s GDP and employs over 80% of the workforce, is highly sensitive to disruptions in financial services. Prolonged outages could result in missed business opportunities, delayed payments, and strained relationships with suppliers and customers.
On social media platforms like X, customers have expressed a range of reactions, from frustration to understanding. Some users have shared their experiences of being unable to complete urgent transactions, while others have commended First Bank for its transparency and efforts to address the issue. The mixed sentiment underscores the critical role that digital banking plays in the daily lives of Nigerians and the importance of reliable service delivery.
First Bank’s Role in Nigeria’s Financial Sector
First Bank of Nigeria Limited, a subsidiary of FBN Holdings Plc, is one of Nigeria’s oldest and most prominent financial institutions. With a network of over 700 branches and more than 3,000 ATMs nationwide, the bank serves a diverse customer base, including individuals, businesses, and government entities. Its digital platforms, including FirstMobile and *894#, have been instrumental in expanding its reach and promoting financial inclusion, particularly in underserved areas.
The bank’s commitment to innovation is evident in its continuous investment in technology and customer-centric solutions. In recent years, First Bank has introduced features such as contactless payments, artificial intelligence-powered chatbots, and enhanced cybersecurity measures to improve the customer experience. Its efforts have earned it numerous accolades, including awards for Best Mobile Banking App and Most Innovative Bank in Nigeria.
However, the current disruption highlights the challenges of maintaining reliable digital services in a complex and rapidly evolving financial landscape. As one of Nigeria’s leading banks, First Bank’s response to this issue will likely set a precedent for how other institutions handle similar challenges. The bank’s ability to restore services quickly and communicate effectively with customers will be critical to maintaining its reputation as a trusted financial partner.
Industry-Wide Implications
The service disruption at First Bank has broader implications for Nigeria’s banking sector, which is undergoing a period of transformation driven by digitalization and regulatory reforms. The Central Bank of Nigeria has been a key driver of this transformation, introducing policies to promote financial inclusion, enhance cybersecurity, and encourage the adoption of emerging technologies such as blockchain and artificial intelligence. However, incidents like the current outage underscore the need for robust infrastructure, regular system maintenance, and contingency planning to ensure uninterrupted service delivery.
The disruption also highlights the importance of collaboration between banks, technology providers, and regulators to address systemic challenges. For instance, the CBN’s Cashless Nigeria policy, which aims to reduce reliance on physical cash and promote electronic transactions, has increased the demand for reliable digital platforms. Banks must invest in scalable and resilient systems to meet this demand, while regulators must provide clear guidelines on cybersecurity, data protection, and service continuity.
Moreover, the outage serves as a reminder of the need for customer education and awareness. Many customers may not be aware of alternative channels, such as internet banking or ATMs, or may lack the technical knowledge to use them effectively. Banks like First Bank can play a role in bridging this gap by providing clear instructions and support during disruptions, as well as investing in financial literacy programs to empower customers.
Economic and Social Context
The disruption in First Bank’s digital services must also be viewed within the broader economic and social context of Nigeria. The country’s economy has faced significant challenges in recent years, including inflation, currency depreciation, and global economic uncertainties. These factors have increased the reliance on digital banking as a cost-effective and convenient alternative to traditional banking, particularly for low-income households and small businesses.
At the same time, Nigeria’s growing population and expanding middle class present significant opportunities for the financial sector. With over 200 million people and a median age of 18, Nigeria has a young and tech-savvy population that is driving demand for digital financial services. However, this demographic also expects high levels of reliability and efficiency, placing pressure on banks to deliver seamless experiences.
Socially, the disruption highlights the importance of financial inclusion. The USSD platform, in particular, has been a game-changer for millions of Nigerians who lack access to smartphones or reliable internet. By enabling basic transactions on feature phones, USSD codes like *894# have brought banking services to underserved communities, reducing the financial access gap. Any disruption to these services disproportionately affects these populations, underscoring the need for banks to prioritize resilience and accessibility.
Looking Ahead: Opportunities for Improvement
The temporary disruption in First Bank’s mobile and USSD services presents both challenges and opportunities for the bank and the broader financial sector. For First Bank, the incident is an opportunity to strengthen its digital infrastructure, enhance cybersecurity measures, and improve customer communication. By investing in advanced technologies, such as cloud-based systems and real-time monitoring tools, the bank can reduce the likelihood of future disruptions and enhance the reliability of its platforms.
The incident also highlights the importance of proactive risk management. Banks must conduct regular stress tests, system audits, and cybersecurity assessments to identify and address vulnerabilities before they impact customers. Collaboration with technology providers and fintech companies can also help banks stay ahead of emerging trends and deliver innovative solutions.
For customers, the disruption serves as a reminder to diversify their banking channels and stay informed about alternative options. Many banks, including First Bank, offer multiple platforms for transactions, including internet banking, ATMs, and agent banking networks. Customers can mitigate the impact of disruptions by familiarizing themselves with these channels and maintaining up-to-date contact information for customer support.
Conclusion
The temporary disruption in First Bank’s mobile and USSD services, announced on September 4, 2025, has brought to light the critical role of digital banking in Nigeria’s financial ecosystem. As one of the country’s leading banks, First Bank’s response to the outage—marked by transparency, proactive communication, and a commitment to swift resolution—demonstrates its dedication to customer satisfaction. While the disruption has caused inconvenience for customers, it also presents an opportunity for the bank to strengthen its systems and enhance its service offerings.
In the broader context, the incident underscores the challenges and opportunities of Nigeria’s digital banking landscape. As the country continues to embrace electronic transactions and financial inclusion, banks must invest in resilient infrastructure, robust cybersecurity, and effective customer communication to meet the needs of a growing and diverse customer base. By addressing these challenges, First Bank and other financial institutions can build a more reliable and inclusive financial system that supports Nigeria’s economic growth and development.
