Nigeria’s Central Bank to Enforce 0.005% Cybercrime Levy on Electronic Transactions, Reaffirms Cybersecurity Standards for Banks
The Central Bank of Nigeria (CBN) has reaffirmed its commitment to enforcing the cybercrime levy at 0.005% on all electronic transactions for the 2024-2025 fiscal year, as outlined in its recently released Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines.
This levy, mandated by the Cybercrime (Prohibition, Prevention, etc.) Act of 2015, is aimed at strengthening Nigeria’s cybersecurity infrastructure amidst rising cyber threats.
It was observed that the levy has been significantly reduced from the previously announced 0.5% in May 2024 to 0.005% in the new guidelines. Banks and other financial institutions are required to deduct the levy from all electronic transactions, with the revenue directed towards a cybersecurity fund designed to protect Nigeria’s banking system from cyberattacks.
The CBN emphasized: “The CBN shall continue to enforce the payment of the mandatory levy of 0.005% on all electronic transactions by banks and other financial institutions, in accordance with the Cybercrime (Prohibition, Prevention, etc.) Act, 2015.”
Additionally, the CBN reiterated its broader cybersecurity commitments, mandating that banks, Other Financial Institutions (OFIs), and Payment Service Providers (PSPs) adhere to minimum cybersecurity standards. This includes the appointment of Chief Information Security Officers (CISOs) to oversee cybersecurity issues, in line with the 2022 risk-based cybersecurity framework.
The guidelines further stated: “Banks and Payment Service Providers (PSPs) are mandated to adhere to the guidelines on the risk-based cybersecurity framework. A similar framework for Other Financial Institutions (OFIs) issued in June 2022 also requires compliance with minimum cybersecurity baselines and the appointment of a CISO to oversee cybersecurity issues.”
With these measures, the CBN aims to bolster the resilience of Nigeria’s financial institutions against the growing threat of cybercrime.
credit: Nairametrics
