The federal government has announced the suspension of the controversial 0.5 per cent cybersecurity levy on electronic banking transactions.
The Minister of Information, Mohammed Idris, announced this on Tuesday in Abuja while speaking to State House correspondents at the end of the council meeting chaired by President Bola Tinubu.
He said, “the cybersecurity levy has been suspended. It is undergoing review. It has been put on hold for now.”
The Central Bank of Nigeria (CBN) had issued a directive to all banks and financial institutions requiring the adoption of a 0.5 per cent cybersecurity tax on all electronic banking transactions.
This new charge, set at 0.5 per cent of the value of each electronic transaction, was implemented in response to growing worries about cyber dangers and follows the rules of the recently passed Cybercrime (Prohibition, Prevention, etc.) (Amendment) Act 2024.
According to the CBN, this action was critical to improving the security framework of financial operations throughout the country.
However, the fee sparked condemnation wild criticism from businesses and the general public, who feared it would aggravate Nigerians’ already bad economic position.
In response to the revelation, while receiving questions from journalists, Idris announced that the levy was being reviewed and has been temporarily suspended.
