Central Bank Denies Reintroducing Cybersecurity Levy

Central Bank Denies Reintroducing Cybersecurity Levy

The Central Bank of Nigeria (CBN) has clarified that it has not reintroduced the previously suspended cybersecurity levy on electronic transfers, following reports suggesting otherwise.

On May 6, 2024, the apex bank mandated all commercial, merchant, non-interest, and payment service banks, as well as mobile money operators, to charge a 0.5 percent cybersecurity levy on electronic transfers.

However, just two weeks later, on May 20, the CBN withdrew this directive, effectively suspending the proposed levy.

Recent media reports claimed that the CBN reinstated the levy, citing references from the “Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for the Fiscal Years 2024-2025.”

In response, the bank issued a statement on Friday, emphasizing that the guidelines referenced were issued prior to December 31, 2023, and its position regarding the suspension of the cybersecurity levy has not changed.

The CBN stated, “Some recent media publications referencing aspects of the Guidelines refer to policy positions of the Bank issued prior to 31st December 2023, which have changed in the light of revisions and updates in 2024.

“One example is the Cyber Security Levy, which was suspended in May 2024, superseding the circular reported in the Guidelines.”

The clarification aims to alleviate confusion surrounding the bank’s policy and reaffirm its commitment to transparency in its operations.

As the financial landscape continues to evolve, the CBN’s proactive communication reflects its efforts to keep stakeholders informed and mitigate any potential disruptions in the banking sector.