CBN Reintroduces Controversial Cybersecurity Levy, Access, Zenith, Others to Charge 0.005 Percent
- The Central Bank of Nigeria (CBN) has reintroduced the cybersecurity levy it abandoned in May
- The bank disclosed the levy’s reintroduction in a policy document issued on Tuesday, September 17, 2024
- CBN reduced the percentage of the levy from 0.5% to 0.005% in line with the Cybercrime Act of 2015
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The Central Bank of Nigeria (CBN) has disclosed that it will continue to enforce the controversial cybercrime levy of 0.005% on all electronic transactions under its recently released guidelines for the 2024/2025 fiscal year.
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CBN reduces cybersecurity levy
The apex bank ditched the controversial levy after the intervention of President Bola Tinubu following public outrage.
The bank is now being reintroduced and mandated by the Cybercrime Act 2025, which aims to boost Nigeria’s security infrastructure.
According to reports, the apex bank reduced the percentage from 0.5% to 0.005% in the new guidelines.
The Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for Fiscal Years 2024/2024 document released by CBN reaffirmed the bank’s commitment to this charge, requiring banks and other financial institutions to deduct the levy from all electronic transactions.
CBN gives reasons for levy
According to reports, the revenue from the levy would be directed to a cybersecurity fund to support efforts to safeguard electronic transactions.
CBN said:
“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, by the Cybercrime (Prohibition, Prevention, etc.) Act, 2015.”
The bank restates the minimum cybersecurity baseline for banks and financial institutions.
The new guidelines also reaffirm the bank’s commitment to ensuring that banks, financial institutions, and payment service providers abide by the minimum cybersecurity standards.
CBN modifies plans
They standards include appointing chief information security officers to oversee cybersecurity issues in line with the 2022 risk-based cybersecurity framework.
A circular from the apex bank dated Monday, May 6, 2024, disclosed that the deduction would start in two weeks.
The directive is for all types of banks - commercial, merchant, non-interest, and payment service banks.
It applies to other financial institutions, mobile money operators, and payment service providers.
16 transactions exempted from CBN’s Cybersecurity Levy
Legit.ng earlier reported that Nigerian banks would begin deducting a 0.5% cybersecurity levy on customers' transactions in two weeks.
This was in obedience to CBN's circular, which was issued on Monday, May 6, 2024, and directed to all commercial, merchant, non-interest, and payment service banks, among others.
Read also
CAC registration, KYC, 3 other things PoS business owners should know about CBN's directive
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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