Central Bank Of Nigeria To Reintroduce Disputed Cybersecurity Tax

Central Bank Of Nigeria To Reintroduce Disputed Cybersecurity Tax

The Central Bank of Nigeria (CBN) has disclosed its intention to re-introduce and enforce the payment of the controversial Cybersecurity Levy on electronic transactions by Nigerians.

The CBN made this known in its Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for Fiscal Years 2024-2025 document released on Tuesday.

Ireporteronline, however, observed, according to the document, that the levy has been reduced from the 0.5% earlier announced in May 2024 to 0.005% in the new guidelines.

The document read: “The CBN shall continue to enforce the payment of the mandatory levy of 0.005 per cent on all electronic transactions by banks and other financial institutions, in accordance with the Cybercrime (Prohibition, Prevention, etc.) Act, 2015.”

This move is in line with the provisions of the recently amended Cybercrime (Prohibition, Prevention, etc.) Act 2024, and is aimed at bolstering the nation’s cyber security infrastructure.

The commercial banks and other financial institutions operating in the country are expected to deduct the levy from all electronic transactions by customers.

However, the CBN is yet to announce a date for the re-commencement of the charges.

It would be recalled that the CBN instructed banks in May this year to start the deduction of the cybercrime fee from customers’ transactions.

The development, however, generated widespread condemnation from Nigerians, who lamented the hardship they were already going through. Subsequently, the apex bank ordered banks to halt the charges.

The CBN directive follows an order from President Bola Tinubu for the suspension of the policy for proper review.