CBN Plans To Reintroduce Cybersecurity Levy

CBN Plans To Reintroduce Cybersecurity Levy
Spread the love

Loading

Amidst the current economic hardship in Nigeria, the Central Bank of Nigeria (CBN) is planning to re-introduce and enforce the payment of the Cybersecurity Levy on electronic transactions.

This plan was announced in the Central Bank Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for Fiscal Years 2024-2025 document released on Tuesday, September 17 which stipulates that banks and other financial institutions must deduct the levy from all electronic transactions.

Didactic Information Hut gathered that the levy has been reduced from the 0.5% earlier announced in May 2024 to 0.005%.

“The CBN shall continue to enforce the payment of the mandatory levy of 0.005 percent on all electronic transactions by banks and other financial institutions, in accordance with the Cybercrime (Prohibition, Prevention, etc.) Act, 2015,” the document states.

“The levy’s proceeds would go towards creating a cybersecurity fund specifically designed to bolster Nigeria’s banking sector’s defences against online attacks. The CBN stresses the significance of cybersecurity measures and requires payment service providers (PSPs), banks, and other financial institutions (OFIs) to comply with minimal cybersecurity standards.

“These standards include the appointment of Chief Information Security Officers (CISOs) to oversee cybersecurity compliance, in line with the 2022 risk-based cybersecurity framework.

“Pursuant to the circular titled ‘Issuance of Risk-based Cybersecurity Framework and Guidelines for Deposit Money Banks and Payment Service Providers’ referenced BSD/DIR/GEN/LAB/11/25, and dated October 10, 2018, issued by the CBN to combat the increasing cyber security threat in the banking industry, banks and Payment Service Providers (PSPs) are mandated to adhere to the guidelines on the risk-based cyber security framework”, the document explains.

The last attempt to implement this policy was greeted by widespread rejection and condemnation by Nigerians resulting in its suspension by the President.

Meanwhile the Central Bank is yet to announce a date for the re-commencement of the charges.

Editor

Leave a Reply

Your email address will not be published. Required fields are marked *

error: Content is protected !!