Reps Urge CBN to Halt Implementation of Cyber Security Levy

The House of Representatives has urged the Central Bank of Nigeria (CBN) to halt the proposed implementation of the cyber security levy.

The resolution followed a motion of urgent public importance by Rep. Kingsley Chinda (PDP-Rivers), the minority leader of the House, at the plenary in Abuja on Thursday. He said that he was concerned that the CBN circular mandated all banks and other Financial Institutions and Payments Service Providers to implement the Cybercrimes Act.

This, according to him, is done by applying the levy at the point of electronic transfer origination as “Cyber security Levy’ and remitting the same. Chinda said the wording of the CBN circular leaves it (the directive) open to multiple interpretations, including that the levy be paid by bank customers, that is, Nigerians against the letters and spirit of Section 44(2)(a).

He said it was also against the Second Schedule to the Cybercrimes Act, which specified the businesses that should be levied accordingly. The lawmaker said that unless immediate steps were taken to halt the proposed action of the CBN, the cybercrime would be implemented in error.

He said this is coming at a time when Nigerians were experiencing the aftermath of multiple removal of subsidies from petroleum, electricity and so on with rising inflation.

Adopting the motion, the House directed the CBN to withdraw the ambiguous circular and issue an unequivocal circular in line with the letters and spirit of the law.

The House also directed the House Committees on Banking Regulations and other ancillary institutions to guide the CBN properly.  Banks Loans Account for 35% of Industry Assets in 2023