The Federal Government has instructed commercial banks in Nigeria to deduct and remit 0.375% on all loans disbursed by them, according to messages sent to customers by banks.
This directive expands the scope of transactions subject to stamp duty charges from regular bank transfers to foreign transactions and now loans. The deduction will be made on the principal loan amount disbursed and remitted to the Federal Government.
In a notification to customers, one bank stated that the directive requires 0.375% of every principal loan amount disbursed to be debited and remitted to the Federal Government. However, existing approved loans remain unchanged and must be repaid in accordance with the agreed terms and conditions.
The move aims to increase non-oil revenues, with the Minister of Finance expressing optimism that revenue from revenue-generating agencies will surpass the N13 trillion recorded in 2023 by the end of 2024.
Source: Parrot Nigeria