ABUJA, Nigeria – Peter Obi, 2023 presidential candidate of the Labour Party, has strongly criticized the Federal Government’s decision to implement a 0.5 per cent cybersecurity levy on all bank transactions.
This move, ordered by the Central Bank of Nigeria, CBN, this week, mandates banks to collect and remit the levy to the Office of the National Security Adviser, NSA.
In response to this directive, Mr Obi vehemently denounced the imposition of the cybersecurity levy, labelling it as an unjust burden on struggling Nigerians.
He argued that this levy contradicts the government’s stated objective of simplifying the tax code and reducing taxes to alleviate the economic challenges faced by businesses amidst Naira depreciation and high inflation rates.
Expressing his discontent on his verified social media handle, Mr Obi questioned the sudden transformation of the NSA’s Office into a revenue collection center.
The introduction of yet another tax, in the form of Cybersecurity Levy, on Nigerians who are already suffering severe economic distress is further proof that the government is more interested in milking a dying economy instead of nurturing it to recovery and growth.
— Peter Obi (@PeterObi) May 8, 2024
He criticised the government’s prioritization of extracting funds from an already fragile economy rather than fostering its recovery and growth.
Obi emphasized that the introduction of the cybersecurity levy exacerbates the plight of citizens already grappling with economic distress.
He pointed out that taxing banking transactions, which are already subject to numerous other levies like stamp duties, undermines the government’s commitment to reducing tax burdens and streamlining the tax system.
Furthermore, Mr Obi highlighted the detrimental impact of the cybersecurity levy on businesses’ trading capital, noting that it would further erode their financial reserves in the face of currency devaluation and inflation.
He stressed that such policies not only impoverish citizens but also diminish the country’s economic competitiveness.
In closing, Mr Obi urged the government to reconsider its stance and focus on reducing taxes to mitigate inflationary pressures.
He questioned the rationale behind the NSA’s Office being involved in revenue collection and called for transparency regarding the allocation of funds generated from the cybersecurity levy.
