The Chairman Senate Committee on National Security and Intelligence, Senator Shehu Umar Buba, has explained in details the controversy surrounding the proposed implementation of the Cybersecurity levy by the Central Bank of Nigeria (CBN).
The levy is provided for in the Cybercrimes (Prohibition, Prevention, etc) (Amendment) Act, 2024.
Senator Shehu Umar Buba explained that the levy is not punitive, as it has numerous exemptions to protect and relieve ordinary citizens, particularly the poor.
He noted that the exemptions include salary payments, intra-account transfers, loan disbursements and repayments, and other financial transactions.
The lawmaker said the amendments to the Cybercrimes Act were a collaborative effort with the National Assembly’s ICT and Cyber Security Committee.
The committee also underwent a transparent public hearing process, receiving contributions from various stakeholders.
Both Houses of the National Assembly unanimously passed it before President Bola Ahmed Tinubu signed it into law.
Senator Umar emphasised that the provisions for the cybersecurity levy have been in place since 2015 but were delayed due to unclear interpretations and applications.
“The Cybercrimes Act of 2015 has provisions for imposing a cybersecurity levy since its enactment, but the vagueness of Section 44 led to different interpretations until the 2024 amendments. The levy is 0.5%, equivalent to half a per cent of the value of all electronic transactions by businesses specified in the Second Schedule to the Act.
“The amendments addressed crucial gaps in the Act and empowered the nation to implement the National Cybersecurity Programme effectively. ”
Senator Umar underscored the criticality of the cybersecurity levy’s implementation, stating that its prudent utilisation will bolster the nation’s capacity to evaluate, execute, upgrade, and fortify the security of national critical economic infrastructure, thereby safeguarding the nation’s cyberspace.
The Committee commended the Office of the National Security Adviser and the Central Bank of Nigeria (CBN) for initiating the operationalizing the cybersecurity levy, highlighting its benefits far outweigh its drawbacks.
Bashir M
