OPay to Implement N50 Levy on Transfers Over N10,000 in Compliance with Federal Regulations

Starting September 9, 2024, Nigerian fintech company OPay will begin charging a one-time fee of N50 on electronic transfers of N10,000 and above, in compliance with Federal Government regulations. This levy, mandated by the government, will be directly remitted to the Federal Inland Revenue Service (FIRS), with OPay clarifying that the fee benefits the government, not the bank.

The N50 electronic money transfer levy, introduced in 2022 by the Minister of Finance, Mrs. Zainab Shamsuna Ahmed, has already generated significant revenue, with N78.95 billion collected in the first five months of 2024. Initially applied to commercial banks, the levy now extends to fintech platforms like OPay and Kuda Bank.

Nigerians are already familiar with various charges associated with electronic transfers, including SMS notification fees, transfer fees, and VAT on transaction charges, all of which contribute to the growing cost of digital financial transactions in the country.