The Central Bank of Nigeria (CBN) has withdrawn its earlier circular that instructed banks to implement 0.5% cybersecurity levy on all electronic transactions.
The withdrawal of the supposed cybersecurity Levy followed public outrage that trailed the announcement of the policy two weeks ago and the suspension of the levy by the Federal Government last week.
The CBN in its latest circular dated May 17, 2024, which was co-signed by its Director of Payments System Management Department, Chibuzo Efobi; and his counterpart at the Financial Policy and Regulation Department, Haruna Mustafa, referred to the earlier May 6, 2024 circular and advised financial institutions that the initial circular on implementing the cybersecurity levy “is hereby withdrawn”.
SUMMIT NIGERIA had reported that CBN released a circular dated May 6, 2024, addressed to all deposit money banks, mobile money operators, and payment service providers, directing the deduction of 0.5% levy to be remitted to the National Cybersecurity Fund (NCF).
The development sparked wild outcries with labour unions threatening actions and pressure groups faulting the timing of the levy implementation amidst the cost of living crisis exacerbated by rising inflation.
The Federal Government subsequently suspended the controversial cybersecurity levy on May 14, 2024.
