Tinubu orders CBN to suspend 0.5% cybersecurity levy

President Bola Tinubu has directed the Central Bank of Nigeria (CBN) to suspend the imposition of a 0.5 percent cybersecurity levy on electronic transactions in the country.

The CBN had directed banks to impose a cybersecurity levy of 0.5 percent on all electronic transfers.

The star had reported that the apex bank had issued the directive through a circular dated May 6, 2024, targeting all commercial, commercial, non-interest and payment service banks, among others.

It noted that the deduction and imposition of cybersecurity levy is a consequence of the enactment of the Cybercrime (Prohibition, Prevention, etc.) Amendment Act, 2024.

This was met with great condemnation by Nigerians, with many groups and individuals calling for the immediate abolition of the cybersecurity levy.

The House of Representatives last Thursday also asked the CBN to withdraw its directive to all banks regarding the controversial levy.

Representative to CBN: Stop imposing 0.5% cybersecurity levy

However, sources with knowledge of Tinubu’s stand on the issue revealed that the President has directed the apex bank to suspend the implementation of the cybersecurity levy.

Sources said Tinubu was aware of the economic burden on Nigerians since the start of his tough economic reforms in May 2023, adding that the President did not want to risk increasing the burden with further levies.

“The President is sensitive to the feelings of Nigerians. And he will not want to continue implementing policies that increase the burden on people.

“Therefore, he has asked the CBN to shelve this policy and ordered a review. I would have said that he ordered the CBN, but that is not appropriate because the CBN is autonomous. But he has asked the CBN to stop and review things,” said a senior official in the presidency who did not want to be named Hit.

Another presidential official, who spoke on condition of anonymity because he was not authorized to speak on the issue, said those discrepancies prompted the president to order a review.

The official said: “If you look at it, the law predates the Tinubu administration. It was enacted in 2015 and signed by Goodluck Jonathan. It is only now being implemented.

“You know he (Tinubu) was not there when this directive was circulated. And he doesn’t want to portray his government as insensitive.

“As it stands now, the CBN has withheld directing banks to start charging fees. So the president is sensitive. His aim is not to simply tax Nigerians. That is not his intention. That is why he has ordered a review of this law.”

The star