Chairman of the Senate Committee on National Security and Intelligence, Senator Shehu Buba, on Sunday said that the recently imposed cybersecurity levy announced by the Central Bank of Nigeria (CBN) is not aimed at individuals or ordinary banking customers. I made it clear that no.
In a statement released by the Senate Media Office, Bouba, the sponsor of the amendment, told Economic Confidential that the levy would strengthen cybersecurity measures to protect the most vulnerable to financial crime and cyber fraud. He said it specifically targets the sectors financial institutions and telecommunications companies. and the country's national security.
He pointed out that the relevant provisions of the Cybercrime Act are very clear about businesses, not citizens, having to pay the levy.
“The law is very clear about who is liable to pay, not Nigerian citizens or individuals. The relevant sections of the Cybercrime Act 2015 include businesses that are required to pay the surcharge, namely telecommunications; Companies, internet service providers, banks, insurance companies, Nigerian Stock Exchange and other financial institutions are listed.
“The organizations in each sector were listed in an earlier circular by the Central Bank of Nigeria in 2018, among others.The new circular by the CBN provides for more exemptions,” Buba said.
He also explained the amount to be paid as a cybersecurity levy, saying:
“In this law, the number 0.005 as a decimal point was converted to a percentage, and in the amendment it became 0.5%. Therefore, the statistics of fractions and percentages are the same.”
The lawmaker emphasized that the passage of the revised bill was due to the joint efforts of various stakeholders.
“The passage of the revised bill was a collaborative effort with contributions from the government, industry, civil society and academia, active participation in preliminary public hearings, and approval by both houses of Congress.
“After a rigorous process, President Bola Ahmed Tinubu signed this bill into law in February 2024,” he said.
The senator acknowledged the concerns of Nigerians, civil society and other stakeholders over the current economic situation, but reassured that the implementation of the Cybersecurity Act is not aimed at punishing the people.
He stressed that the levy is a joint effort to protect national security and the economy, and that the financial burden will be placed primarily on specific companies.
The Cybercrime (Prohibition, Prevention etc.) (Amendment) Act 2024, which President Tinubu signed into law in February, provides a tax of 0.5 per cent (0.005) equal to half of the value of all electronic transactions by companies specified in the Second Schedule. impose a levy. of law.
The levy will be transferred to the National Cybersecurity Fund, which will be administered by the Office of the National Security Advisor (ONSA).
The circular announcing the levy also exempted some transactions from the cybercrime levy, including loan disbursements and repayments, salary payments, intra-account transfers, and other financial transactions.
