President Bola Tinubu’s recent directive to introduce new taxes has sparked controversy among Nigerians, especially amidst the ongoing cost-of-living crisis. However, a closer examination reveals that these measures are not only crucial for economic stability but also imperative for national security.
In the wake of increasing cyber threats and the need to bolster cybersecurity infrastructure, the Central Bank of Nigeria (CBN) has mandated commercial banks to impose a 0.5% levy on certain electronic transactions. This levy, aimed at funding cybersecurity initiatives, is a proactive step in safeguarding the nation’s digital infrastructure against cybercrime, a growing concern in today’s interconnected world.
It’s important to note that President Tinubu’s administration has taken comprehensive measures to ensure that these taxes do not unduly burden the populace. The directive includes 16 exemptions, ensuring that essential transactions such as loan disbursements, salary payments, and government social welfare programs remain unaffected. This targeted approach reflects a nuanced understanding of the socioeconomic landscape and prioritizes the welfare of citizens.
Moreover, the introduction of these taxes is not an isolated event but part of a broader strategy to strengthen Nigeria’s financial ecosystem. Stamp duties, NIBSS charges, and Value Added Tax are already in place, contributing to the country’s revenue generation efforts. While these charges may seem burdensome, they are essential for funding critical government initiatives and services that benefit all Nigerians.
Contrary to popular belief, financial inclusion remains a priority for President Tinubu’s administration. Despite the challenges posed by poverty, efforts to expand access to formal financial services are underway. Initiatives such as the EFInA report highlight the progress made in increasing bank account ownership among adult Nigerians, underscoring the government’s commitment to promoting financial literacy and inclusion.
President Tinubu’s tax directive represents a pragmatic approach to addressing the dual challenges of cybersecurity and fiscal sustainability. While concerns about the cost of living persist, it is essential to recognize the broader implications of these measures for national security and economic resilience. By implementing targeted exemptions and prioritizing essential transactions, the government seeks to strike a balance between revenue generation and citizen welfare, ensuring a safer and more prosperous future for all Nigerians.
