Cyber security levy will drive more Nigerians into poverty – Peter Obi

Peter Obi, the Labour Party’s presidential candidate in the 2023 general election, criticized the recently introduced cyber security levy by President Bola Tinubu’s administration, labeling it as excessive and poorly planned. Obi, who expressed his views via a series of tweets on Wednesday, argued that the levy is just another burden on Nigerians already struggling under economic pressures.

According to Obi, the new Cyber security levy contradicts efforts to revive the economy, instead adding to the multitude of taxes that weigh heavily on the populace. He emphasized, “The Cyber security Levy, added to an array of existing taxes on banking transactions like stamp duties, undermines the government’s pledge to simplify the tax regime and reduce tax burdens.”

Obi further pointed out the levy’s impact on businesses, noting that it taxes their trading capital rather than profit. This, he argued, will deplete their resources further, especially in light of the Naira’s devaluation and rampant inflation.

“It’s unreasonable to expect that the burden of government funding should fall so heavily on citizens already enduring hardship. Such policies not only impoverish the people but also deteriorate the country’s economic competitiveness,” Obi stated.

He criticized the government’s approach at a time when measures should be taken to lower taxes to combat inflation, yet new taxes are being introduced. He also questioned the rationale behind involving the National Security Adviser’s office in tax collection as stipulated by the new cybersecurity legislation.