The Central Bank of Nigeria (CBN) has officially rescinded its directive requiring banks and payment service providers to collect and remit fees under the Cybercrime Prevention and Prohibition Amendment Act of 2024.
This policy reversal was announced in a revised circular dated May 17, 2024, marking a significant shift from the initial mandate issued on May 6.
The initial directive aimed to bolster national cybersecurity measures by enforcing the collection of a national cybersecurity levy from financial institutions. However, the revised circular, signed by Chibuzor Efobi, Director of Payment Systems Management, and Haruna Mustafa, Director of Financial Policy and Regulation at the CBN, nullifies this requirement.
Titled “Re: Cybercrimes (Prohibition, Prevention, Etc.) (Amendment) Act 2024 – Implementation Guidance on the Collection and Remittance of the National Cybersecurity Levy,” the circular indicates a complete withdrawal of the earlier directive and a halt in the enforcement of the levy collection.
This retraction follows widespread backlash from various stakeholders, sparking a national debate on the levy’s implications for businesses and the public. In response to these concerns, the Federal Executive Council suspended the law’s provisions, citing the need for further reviews.
The revised circular stated, “The Central Bank of Nigeria circular dated May 6, 2024 (Ref: PSMD/DIR/PUB/LAB/017/004) on the above subject refers. Further to this, please be advised that the above-referenced circular is hereby withdrawn.”
