The Central Bank of Nigeria (CBN) has directed all banks operating in the country to begin charging a cybersecurity levy on transactions. According to a circular issued on Monday, May 6, the implementation of the levy will commence two weeks from the date of the circular.
The directive, which applies to all commercial, merchant, non-interest, and payment service banks, is in compliance with the Cybercrimes (Prohibition, Prevention, Etc.) Act 2015. The levy is aimed at enhancing cybersecurity measures in the financial sector.
The circular specified that deductions for the levy should start within two weeks from the date of issuance, and the levies collected should be remitted in bulk to the Nigerian Cybersecurity Fund (NCF) account domiciled at the CBN by the fifth business day of every subsequent month.
However, certain transactions are exempted from the levy, including loan disbursements and repayments, salary payments, intra-account transfers within the same bank or between different banks for the same customer, and other specified transactions involving financial institutions.
The CBN's directive underscores the importance of cybersecurity in the financial sector and aims to enhance the security of financial transactions in Nigeria.
