I understand the need to fund cybersecurity efforts to thwart criminals. However, this latest levy conveniently exempts the affluent by focusing on select transactions.
Following the enactment of the Cybercrime (Prohibition, Prevention, etc) (amendment) Act 2024 and pursuant to the provision of Section 44 (2)(a) of the Act, “a levy of 0.5% (0.005) equivalent to a half percent of all electronic transactions value by the business specified in the Second Schedule of the Act”, is to be remitted to the National Cybersecurity Fund (NCF), which shall be administered by the Office of the National Security Advisor (ONSA). […]
The levy shall be applied at the point of electronic transfer origination, then deducted and remitted by the financial institution.
The deducted amount shall be reflected in the customer’s account with the narration: “Cybersecurity Levy”. (Central Bank of Nigeria 🇳🇬, PDF here)
The Premium Times provides reactions from Nigerians 🇳🇬, which is unfavorable as no one wants an increase in expenses during this age of inflation we are living in.
Although I do not desire to pay extra fees when conducting transactions, I understand the levy’s necessity, even if I do not appreciate the expense.
While it is understandable that there would be exemptions to the new Levy (for charities, payroll, school, transactions within the bank, government, etcetera), one exemption did capture my attention.
SCHEDULE OF EXEMPTIONS FROM CYBERSECURITY LEVY […]
Savings and deposits including transactions involving long-term investments such as Treasury Bills, Bonds and Commercial Papers. (Central Bank of Nigeria 🇳🇬)
Usually, the affluent invest long-term in bonds & treasury bills, so its appearance here as an exception is suspicious. Like any other nation, Nigeria 🇳🇬 needs investors, but they should not cater to their interests while asking the public to increase their burden.
Nigerians 🇳🇬 are threatening lawsuits against the Cybersecurity Levy. However, I doubt the government will suspend a new source of revenue when nations seek extra cash to maintain the upkeep of their respective countries.
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