The Federal Government of Nigeria generated N103.7 billion in revenue from the Electronic Money Transfer Levies (EMTL) in the first half of 2024, according to data from the Central Bank of Nigeria’s statistical bulletin. This marks a 7.55% increase from the N96.44 billion collected during the same period in 2023.
The rise in revenue reflects the growing adoption of digital payment platforms and an increasing volume of electronic transactions, as more Nigerians and businesses turn to digital banking solutions.
The EMT levy, introduced through the Finance Act 2020, amended the Stamp Duty Act to tap into the expansion of electronic funds transfers in Nigeria. The levy is a one-time charge of N50 on electronic receipts or transfers of money in any deposit bank or financial institution for amounts of N10,000 or more.
Monthly Revenue Breakdown
– In January 2024, revenue from the EMTL stood at N18.60 billion, representing a 26.57% decrease from the N25.33 billion recorded in January 2023.
– February 2024 saw a 20.21% increase, with collections rising to N16.59 billion compared to N13.80 billion in February 2023.
– In March 2024, collections reached N18.60 billion, up 53.41% from N12.13 billion in March 2023.
– April 2024 saw a marginal increase of 1.85%, with N15.37 billion collected compared to N15.09 billion in April 2023.
– May 2024 recorded a more substantial year-on-year increase, with N18.78 billion collected, 24.24% higher than the N15.12 billion in May 2023.
– Although June 2024 saw a slight decline from May, with N15.78 billion collected, it still marked a 5.40% increase from the N14.97 billion in June 2023.
A report , electronic payment transactions in Nigeria surged by 86.44% in the first half of 2024, reaching N566.39 trillion compared to N303.60 trillion in the same period of 2023, according to data from the Nigeria Inter-Bank Settlement System (NIBSS).
The NIBSS Instant Payment (NIP) platform, launched in 2011, is a real-time interbank payment system that facilitates instant value transfers. Banks have made the NIP platform accessible through various channels, including internet banking, mobile apps, USSD, ATMs, POS, and bank branches. The rise in e-payment transactions is largely driven by the convenience and efficiency of digital payment platforms.
In 2023, Nigeria’s electronic payment transactions hit a record high, increasing by 55% to N600 trillion from N387 trillion in 2022.
However, the growth of mobile money services across Africa has been accompanied by a significant increase in fraud, raising concerns about the security of these platforms. The Global System for Mobile Communications Association’s “State of the Industry Report on Mobile Money 2023” reported that mobile money fraud in Africa exceeded $1 billion, underscoring the need for improved security measures to support the continued adoption of mobile money services.