CBN plans reintroduction of cybersecurity levy

The Central Bank of Nigeria (CBN) is to reintroduce cybersecurity levy on electronic transactions. The apex bank disclosed this in its Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for 2024-2025 released on Tuesday. It, however, said the levy had been reduced from the 0.5% earlier announced in May to 0.005%. “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,” it said. 

According to the bank, the 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. Commercial banks and other financial institutions in the country are to deduct the levy from all electronic transactions by customers. The CBN, however, did not give any date for the re-commencement of the levy. The levy was imposed earlier in May, but its enforcement was suspended following public outcry and condemnation.