FG directs CBN to suspend implementation of cybersecurity levy
President Bola Tinubu has directed the Central Bank of Nigeria (CBN) to suspend the implementation of 0.5 per cent cybersecurity levy on electronic transactions in the country.
The CBN had ordered banks to start charging a 0.5 per cent cybersecurity levy on all electronic transfers.
The Star had reported that the apex bank gave the directive via a circular dated May 6, 2024, and directed to all commercial, merchant, non-interest and payment service banks, among others.
It noted that the deduction and collection of the cybersecurity levy is a sequel to the enactment of the Cybercrime (prohibition, prevention etc) Amendment Act of 2024.
This was greeted with wide condemnations by Nigerians, with many groups and individuals calling for the immediate reversal of the cybersecurity levy.
The House of Representatives, last Thursday, also asked the CBN to withdraw its directive to all banks on the controversial levy.
Reps to CBN: Halt implementation of 0.5% cybersecurity levy
However, sources with knowledge of Tinubu’s position on the issue disclosed that the president has directed the apex bank to suspend the implementation of the cybersecurity levy.
Read Also:
Sources said Tinubu was aware of the economic burden on Nigerians since his hardline economic reforms commenced in May 2023, adding that the president did not want to risk adding to the burden with more levies.
“The president is sensitive to what Nigerians feel. And he will not want to proceed with implementing a policy that adds to the burden of the people.
“So, he has asked the CBN to hold off on that policy and ordered a review. I would have said he ordered the CBN, but that is not appropriate because the CBN is autonomous. But he has asked the CBN to hold off on it and review things again,” a senior presidency official, who preferred not to be named, told Punch.
Another presidency official, who preferred to remain anonymous as he was not authorised to speak on the issue, said these discrepancies prompted the president to order a review.
The official said: “If you look at it, the law predates the Tinubu administration. It was enacted in 2015 and signed by Goodluck Jonathan. It is only being implemented now.
“You know he (Tinubu) was not around when that directive was being circulated. And he does not want to present his government as being insensitive.
“As it is now, the CBN has held off the instruction to banks to start charging people. So, the President is sensitive. His goal is not to just tax Nigerians like that. That is not his intention. So, he has
ordered a review of that law.”
