In the midst of the continuous suffering that is engulfing Nigeria, deposit money institutions there will now impose a 0.5% cybersecurity fee on all transactions.
This was stated in a May 6, 2024, circular from the Central Bank of Nigeria (CBN) to all banks that offer payment services, merchant, commercial, non-interest, and payment services, as well as mobile money providers and payment service providers.
“After the Cybercrime (Prohibition, Prevention, etc.) (amendment) Act 2024 was passed, the National Cybersecurity Fund (NCF), which will be overseen by the Office of Cybersecurity, shall receive a levy of 0.5% (0.005) equivalent to a half percent of all electronic transactions value by the business specified in the Second Schedule of the Act.
The apex bank announced that the levy would go into effect two weeks from the circular’s issuance.
The charge must be applied at the point of origination of an electronic transfer, after which the financial institution must deduct and remit the amount. The amount withheld will be shown as a “Cybersecurity Levy” on the customer’s account.
