Senate and House Clash Over Cyber-Security Levy: Calls for Halting Implementation

A Disagreement Arises Between Senate and House of Representatives Over Cyber-Security Levy Implementation

The Senate and the House of Representatives find themselves at odds regarding the implementation of the cyber-security levy recently announced by the Central Bank of Nigeria (CBN). While the Senate argues that the levy is not intended to be punitive, the House has called for the CBN to halt its implementation due to the apprehension it has generated among stakeholders.

Adding to the debate, the Nigerian Economic Summit Group (NESG) has criticized the levy, suggesting that it should be borne by high net-worth companies and individuals rather than across the board. This nuanced perspective underscores the complexity of the issue and the diverse range of opinions surrounding it.

The genesis of the disagreement stems from a circular issued by the CBN on Monday, directing various financial institutions, including commercial, merchant, non-interest, and payment service banks, to activate the payment of a 0.5 percent levy on select electronic transactions. This directive has sparked considerable debate among lawmakers and industry stakeholders, highlighting the need for further dialogue and consensus-building on cyber-security measures and their associated costs.