ACMAN deems 0.5% cybersecurity levy ill-timed amid financial inclusion efforts

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The Association of Capital Market Academics of Nigeria (ACMAN) has voiced apprehension regarding the timing of the Central Bank of Nigeria’s (CBN) proposed 0.5% cybersecurity levy. ACMAN President, Professor Uche Uwaleke, highlighted concerns about the levy’s potential impact on financial inclusion efforts and currency circulation outside traditional banking channels.

Uwaleke warned that implementing the levy could hinder financial intermediation and complicate monetary policy transmission, potentially leading to decreased bank patronage and affecting inflation management. He urged reconsideration of the levy, particularly in light of government commitments to revenue generation strategies without new taxes or increased tax rates.

Suggesting withdrawal of the circular proposing the levy, Uwaleke emphasized the importance of prioritizing recommendations from the Presidential Committee on Fiscal Policy and Tax Reforms. He advocated for policy suspension to focus on consolidating and rationalizing multiple taxes and levies to support business growth and foster a conducive economic environment.

Source: Punch

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