Every bank has been instructed by the CBN to charge 0.5% of all transactions for cybersecurity.

All Nigerian banks are required by law to charge 0.5% of all transactions for cybersecurity, according to the Central Bank of Nigeria (CBN).

The CBN stated that the mandate must now be followed by all banks, other financial institutions, and payment service providers. It states that the levy must be applied at the point of origination of the electronic transfer and then deducted and remitted by the financial institution. The money that has been subtracted will appear together with the narration in the customer’s account. “Levy on Cybersecurity”

“All financial institutions will begin to deduct within two weeks of the date of this circular, and by the fifth business day of the following month, the monthly remittance of the levies collected in bulk to the NCF account domiciled at the CBN will be completed.”

The following are exempt from the levy: salary payments, loan disbursements and repayments, intra-account transfers for the same customer between banks, interbank transfers between banks, instructions from other financial institutions to their correspondent banks, interbank placements, and bank transfers to CBN and vice versa.

The CBN has been working to clean up the financial industry lately. It recently released an order prohibiting fintechs from enrolling new clients. In response, the fintech companies have cautioned their clientele not to conduct cryptocurrency transactions on their networks.

This occurred just one week after the Federal Government ordered Deposit Money Banks to start deducting the 0.375 percent stamp duty levy from all bonds and loans backed by mortgages right away.

Breaking news of the CBN charging 0.5% of every transactions for cybersecurity went viral online and sparked debate about the new regulations.

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