All Mobile Money Operators (MMOs) and Payment Service Providers (PSPs) to charge 0.005 per cent levy for every electronic transaction on their platform for the National Cybersecurity Fund (NCF).
The levy shall be 0.005 percent of the service charge exclusive of all tax effects from all electronic financial transactions occurring on in a bank, or on a mobile money scheme or any other payment platform.
The fund is to be overseen alongside the multi-agency Cybercrime Advisory Council by the National Security Advisor (NSA) and the Attorney-General of the Federation (AGF), according to the Cybercrimes Act of 2015.
The Central Bank of Nigeria (CBN) in a circular signed by its director of banking and payments system department, ‘Dipo Fatokun, said the collection of the charges which is to be routed into a Treasury Single Account (TSA) domiciled at the apex bank is to become effective from July 1, 2018.
The circular was addressed to MMOs and PSPs in the country and stated that “pursuant to the provisions of Section 44 (S. 1 and 2) of the Cybercrimes (Prohibition, Prevention etc) Act 2015, all MMOs and other affected PSPs are hereby directed to comply with the statutory provision for the collection and remittance if the 0.005 levy on all electronic transactions by the businesses specified on the second schedule of the act.”
Effectively, all electronic financial transactions occurring in a bank, or on a mobile money scheme or any other payment platform that have an accompanying charge shall be charged the 0.005 levy.
Also, it said “all electronic transactions, both inter and intra, that have accompanying service charge shall qualify as eligible transactions. Operators shall remit the levy on a monthly basis using the effective date or date of commencement of business as the base month. For this purpose, the fifth business day of every subsequent month shall be the latest date for remittance.”
The Cybercrimes Act 2015 was passed in May of 2015 is the first legislation in Nigeria that deals specifically with cyber security and recognises the role of financial institutions as stakeholders in the cyber security framework.