1 week Ago By Apata Oyeniran
The National Association of Nigerian Students (NANS) has raised the alarm that the imposition of a deduction of N50 Electronic Money Transfer Levy (EMTL) from every inflow of N10,000 and above received by customers of Fintech companies may affect over 40.1 million students that relied on the platform for financial transactions. As NANS called for a stop to its implementation, it said many students rely on the financial transfers for their education and daily expenses, saying the new levy could significantly reduce the funds available for essential needs such as school fees, textbooks, and living expenses.
The Senate Clerk of the National Association of Nigerian Students, National Headquarters, Oladimeji Uthman, in a statement expressed resentment over new policy, which mandates a N50 deduction on every electronic transfer of N10,000 and above through fintech companies. According to him, the policy that is set to take effect on September 9, 2024, will further exacerbate the financial burdens on Nigerian students and the general populace. The Senate clerk said the new levy previously applicable only to commercial banks, now extends to fintech platforms such as OPay and Moniepoint, ending the era of free banking services that many of these companies offered.
Uthman urged the Federal Government to explore alternative revenue sources, such as investing in agriculture, quality education, infrastructure development, and job creation, rather than imposing additional financial burdens on students and ordinary citizens. “This sentiment reflects a broader discontent among students who believe that government revenue strategies should focus on long-term development rather than immediate taxation. “Undermining the Purpose of Fintech: The primary appeal of fintech platforms has been their low-cost and efficient services, which have made financial transactions more accessible to students.
The new levy undermines this benefit, making these platforms less attractive and potentially driving students away from digital financial services, contrary to the government’s stated goal of encouraging electronic transactions..
