The Federal Authorities of Nigeria has generated N103.7bn in income from the Digital Cash Switch Levies within the first half of 2024.
Based on knowledge from the Central Financial institution of Nigeria’s statistical bulletin, this represents a 7.55 per cent improve in comparison with the N96.44bn collected throughout the identical interval in 2023 of final yr.
This determine reveals the rising use of digital cost platforms and the next quantity of digital transactions as extra Nigerians and companies embrace digital banking options.
Digital cash switch levy was launched as a supply of presidency income within the Finance Act 2020, which amended the Stamp Obligation Act to faucet into the expansion of digital funds switch in Nigeria.
The EMT levy is a singular and one-off cost of N50 on digital receipt or switch of cash deposited in any deposit cash financial institution or monetary establishment on any sort of account on sums of N10,000 or extra.
In January 2024, the income from EMTL stood at N18.60bn, reflecting a 26.57 per cent lower in comparison with N25.33bn in the identical interval of final yr.
Nevertheless, February 2024 confirmed a 20.21 per cent improve, with collections rising to N16.59bn from N13.80bn in February 2023.
March 2024 additionally skilled progress, recording N18.60bn, up by 53.41 per cent from N12.13bn in March 2023.
The income in April 2024 was N15.37bn, which was a marginal 1.85 per cent improve in comparison with N15.09bn collected in April 2023.
Could 2024 noticed a extra substantial year-on-year improve, with earnings reaching N18.78bn, 24.24 per cent larger than the N15.12bn collected in Could 2023.
Though June 2024 noticed a slight dip in comparison with Could, with N15.78bn collected, it nonetheless marked a 5.40 per cent improve from the N14.97bn recorded in the identical interval of final yr.
The PUNCH had earlier reported that e-payment transactions within the nation jumped by 86.44 per cent to N566.39tn within the first half of 2024 from N303.60tn in the identical interval of final yr, in line with knowledge from the Nigeria Inter-Financial institution Settlement System.
The NIP, launched in 2011 by NIBSS, is a web based real-time interbank cost platform that permits instantaneous worth transfers.
Banks have since made the NIP platform accessible to clients via numerous channels, reminiscent of web banking, cellular apps, USSD, ATMs, POS, and financial institution branches.
The surge in e-payment transactions was linked to the rising adoption of digital cost platforms by companies and people, pushed by comfort and effectivity in monetary transactions.
Final yr, digital cost transactions within the nation hit an all-time excessive, rising by 55 per cent to N600tn, in comparison with N387tn in 2022.
Nevertheless, as telecom operators in Africa more and more spend money on the cellular cash sector, they confront a significant fraud disaster, prompting requires improved safety measures.
Based on the International System for Cellular Communications Affiliation’s “State of the Trade Report on Cellular Cash 2023”, cellular cash fraud in Africa exceeded $1bn, elevating issues that safety points might impede the adoption of cellular cash providers.