BREAKING: Tinubu Orders CBN To Suspend Implementation Of Cybersecurity Levy

President Tinubu orders the suspension of the 0.5 percent cybersecurity levy on electronic transactions following public criticism.

The move comes after the House of Representatives urged the CBN to retract its circular, citing concerns about financial strain on Nigerians.

President Bola Tinubu has directed the Central Bank of Nigeria (CBN) to suspend the enforcement of the contentious 0.5 percent cybersecurity levy on electronic transactions, following widespread criticism.

VerseNews reports that the directive came after the House of Representatives urged the CBN to retract its circular mandating banks to impose the levy, which was introduced in compliance with the Cybercrime (Prohibition, Prevention, etc) (Amendment) Act 2024.

The Act stipulates the collection of a 0.5 percent levy on the value of all electronic transactions, including pension payments, educational transactions, and non-profit transactions, with proceeds directed to the National Cybersecurity Fund overseen by the Office of the National Security Adviser.

President Tinubu’s move comes in response to public outcry, with concerns raised about adding financial strain on Nigerians, prompting a review of the policy by the apex bank.

According to The Punch, senior presidency official, said President Tinubu does not want to add to the burden of Nigerians.

The source said, “The President is sensitive to what Nigerians feel. And he will not want to proceed with implementing a policy that adds to the burden of the people.

“So, he has asked the CBN to hold off on that policy and ordered a review. I would have said he ordered the CBN, but that is not appropriate because the CBN is autonomous. But he has asked the CBN to hold off on it and review things again.”

Another anonymous source in the presidency said the president ordered the review of the policy because he did not want his administration to be seen as insensitive.

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

“You know he (Tinubu) was not around when that directive was being circulated. And he does not want to present his government as being insensitive. As it is now, the CBN has held off the instruction to banks to start charging people. So, the President is sensitive. His goal is not to just tax Nigerians like that. That is not his intention. So, he has ordered a review of that law.”