Cyber security levy is milking dying economy – Obi

…. Says it’ll further impoverish Nigerians

By Ihechukwu Sunday

The Labour Party presidential candidate in the 2023 general election, Peter Obi, has described the newly introduced cyber security levy by the Federal Government as one tax too many, and aimed at milking a dying economy.
Obi lamented that instead of nurturing the recovery and growth of the economy, the government, by its multiple taxation, was more interested in inflicting more pains on the people, who are already suffering severe economic stress.
Writing on his X handle yesterday morning, Obi said: “The introduction of yet another tax in the form of a 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 than nurturing it to recovery and growth.

“This does not only amount to multiple taxation on banking transactions, which are already subject to various other taxes, including stamp duties, but also negates the government’s avowed commitment to reduce the number of taxes and streamline the tax system.
“The imposition of a cybersecurity levy on bank transactions is particularly sad given that the tax is on the trading capital of businesses and not on their profit, hence, will further erode whatever is left of their remaining capital, after the impact of the Naira devaluation high inflation rate. It is inconceivable to expect the suffering citizens of Nigeria to separately fund all activities of the government.
“Policies such as this not only impoverish the citizens but also make the country’s economic environment less competitive.
“At a time when the government should be reducing taxes to curb inflation, the government is, instead, introducing new taxes. And when did the office of the National Security Adviser (NSA) become a revenue-collecting centre?
“And why should that purely national security office receive returns on a specific tax as stated in the new cybersecurity law?”