From Ndubuisi Orji, Abuja
The House of Representatives has urged the Central Bank of Nigeria (CBN) to immediately halt the implementation of the Cyber Security Levy.
The House also directed the CBN to withdraw its circular to financial institutions on the levy and “issue an unequivocal circular in line with the letters and spirit of the law.”
Furthermore, the House mandated its Committees on Banking Regulations and Banking and Other Ancillary Institutions to guide the apex bank properly.
This resolution followed the adoption of a motion by the minority leader, Kingsley Chinda, and 359 other members of the House, on the “urgent need to halt the proposed implementation of the cyber security levy by the CBN”, at Thursday’s plenary.
The lawmakers, in the motion, noted that the CBN, through a May 6, 2024 circular to all commercial, merchant, Non-interest and payment service banks, other financial institutions, mobile money operators, and payment service providers, notified Nigerians of a proposed 0.5% levy on electronic transactions. This levy was based on Section 44(2)(a) of the Cybercrimes (Prohibition, Prevention, etc.) (Amendment) Act, 2024 (“Cybercrimes Act”).
The House noted that Section 44(2)(a) of the Cybercrimes (Prohibition, Prevention, etc.) (Amendment) Act, 2024 provides that a levy of 0.5% (0.005) equivalent to a half per cent of all electronic transactions value by businesses specified in the Second Schedule to this Act “be paid into the Cybersecurity Fund.
The businesses referred to in Section 44(2)(a) and listed in the Second Schedule to the Cybercrimes Act are:
- GSM Service Providers and all telecommunication companies
- Internet Service Providers
- Banks and Other Financial Institutions
- Insurance Companies
- Nigerian Stock Exchange