See more as CBN clarifies debit instructions on bank customers’ accounts

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The CBN has clarified its recently published Monetary Policy Circular and has removed it from its website
The decision, it said, was due to several incorrect analyses of the circular, and an updated version will be released
Some of the issues raised by the CBN include reportage on the cybersecurity levy and the connection between subsidies and inflation

The Central Bank of Nigeria (CBN) has confirmed that the controversial cybersecurity levy remained suspended.

Media reports have quoted a recent CBN publication titled Monetary, Credit, Foreign Trade, and Exchange Policy Guideline that the levy has been reintroduced but has been reduced to 0.005%, from the initial 0.5%

However, in a circular released on Friday, September 19, the CBN noted that reports have connected new directives with outdated policies, such as the cyber security levy and fuel subsidy issues.

Part of the circular reads:

"The attention of the Central Bank of Nigeria (CBN) has been drawn to certain instances of misinterpretation or misrepresentation of its biennial publication on Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines published on September 17, 2024. "In response, the CBN has temporarily withdrawn the document to minimize risk of any further misrepresentation.Some recent media publications referencing aspects of the Guidelines refer to policy positions of the Bank issued prior to 31st December 2023, which have changed in the light of revisions and updates in 2024. "One example is the Cyber Security Levy, which was suspended in May 2024, superseding the circular reported in the Guidelines.Certain technical aspects of the Guidelines have been widely misreported and misrepresented."

Background of cybersecurity levy

In May 2024, Legit.ng reported that the central bank had mandated a 0.5% cybersecurity levy on all electronic transaction values to combat rising cybercrime threats in the financial system.

The CBN stated that the collected funds would be directed to the National Cybersecurity Fund (NCF), managed by the Office of the National Security Adviser (ONSA).

However, after significant opposition from the Organised Private Sector (OPS), stakeholders, and the public, the CBN announced on May 19 the withdrawal of the controversial circular regarding the levy.