The federal government confirmed on Tuesday the suspension of the implementation of the cybersecurity levy, the imposition of which was recently announced.
Minister of Information and National Orientation Mohammed Idris told correspondents after the meeting of the Federal Executive Council (FEC) presided over by President Bola Tinubu at the Presidential Villa in Abuja that the 0.5% levy on electronic transactions has been put on hold to enable the government to review it.
He affirmed that the federal government did not want Nigerians to be overburdened at a time when things are already difficult.
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Recall that the Central Bank of Nigeria (CBN) issued a circular on May 6, 2024, mandating all banks, mobile money operators, and payment service providers to commence the implementation of the new cybersecurity levy. The levy is contained in the Cybercrime (Prohibition, Prevention, etc.) (Amendment) Act 2024 and amounts to 0.5 percent of the value of all electronic transactions, meant to be remitted to the National Cybersecurity Fund overseen by the Office of the National Security Adviser (NSA).
However, when asked to confirm the status of the levy, Idris affirmed that the issue was discussed at the FEC meeting and it was resolved that it should be suspended pending a review.
“The President is not insensitive to the feelings of Nigerians, and it was agreed that the policy be suspended while we work out a review of modalities for its implementation,” the minister added.
Outcry followed the announcement by the CBN, with critics including the House of Representatives questioning its timing.
