Nigeria is facing a growing wave of outrage and backlash over the recently introduced 0.5% cybersecurity levy on electronic transactions, with prominent voices urging President Bola Tinubu to immediately suspend the controversial policy. Critics have decried the levy as a “digital robbery” and a breach of the social contract between the government and its citizens, with some even accusing the administration of executing a plan initially conceived by the previous administration.
Prof. Khalifa Dikwa, the Dean of the Borno Elders Forum and a respected political analyst, has described the levy as “provocative” and ill-timed, given the economic hardships already faced by Nigerians. During an appearance on Channels Television’s Politics Today program, Dikwa questioned the rationale behind imposing additional financial burdens on the people.
“This is not the time, it’s wrong timing. Why are they provoking the people of this country? They have taken enough,” Dikwa stated emphatically, urging Tinubu’s administration not to exacerbate the pains of the populace.
The cybersecurity levy, introduced by the Central Bank of Nigeria (CBN) through a circular dated May 6, 2024, mandates the deduction of 0.5% on electronic transactions, with the funds to be remitted to the National Cybersecurity Fund (NCF) administered by the Office of the National Security Adviser (ONSA). This move has sparked widespread outrage, with labor unions threatening potential actions in response.
According to estimates, the levy could potentially extract a staggering N3 trillion annually from Nigerians engaging in electronic transactions, a sum that critics have termed a “digital extortion.” The implementation of the levy is scheduled to commence on May 20, 2024, meaning that every Nigerian conducting electronic business transactions will be subject to the 0.5% tax, payable directly to the Tinubu administration.
Critics have condemned the move as an act of “pure sadism” and a direct “assault on Nigerians,” arguing that it represents a clear breach of the social contract between the government and its citizens. Some have even suggested that the levy is an indication that their prayers for the removal of the administration are being answered sooner than expected.
Dikwa called upon President Tinubu to heed the voices of the people and withdraw the levy, emphasizing the democratic principle of listening to the concerns of the electorate. “I’ll just say: ‘Withdraw it, this is democracy, and my people are saying, no. I’ll just say withdraw it and wait for another time to conveniently do it,'” he urged.
The elder statesman further alleged that Tinubu’s administration has been “remote-controlled” by international financial institutions like the International Monetary Fund (IMF) and the World Bank, accusing them of seeking to plunge Nigeria into crisis and lawlessness. He defended subsidies as rights, not privileges, and lamented the current situation as “unfortunate.”
Dikwa also highlighted the discontent among the elite in northern Nigeria, citing Tinubu’s “misfit and weak appointees” and “anti-people policies” as sources of dissatisfaction. He pointed out that the administration has already exposed Nigerians to a series of economic shocks, including the withdrawal of fuel, fertilizer, electricity, and educational subsidies, as well as increased import and export duties. Furthermore, Dikwa claimed that Tinubu has collected over N30 trillion in loans so far, exacerbating the nation’s debt burden.
As the debate over the cybersecurity levy intensifies, it remains to be seen whether Tinubu’s administration will heed the calls for suspension or proceed with the implementation of the controversial policy. The outcry underscores the growing frustrations among Nigerians grappling with economic challenges and the perceived overreach of the government in imposing additional financial burdens.
Reference
‘It’s Provocative’, Prof Dikwa Tells Tinubu To Suspend Cybersecurity Levy published in Channels