FG plans to generate N136.3 billion from Electronic Money Transfers

The Federal Government of Nigeria has projected to generate N136.3 billion as revenue from Electronic Money Transfers (ETM) to be paid by bank customers in 2023. This is based on a projected 2.7 billion volume of eligible online transfers in the year.

The Budget Office of the Federation, which disclosed this in its 2023-2025 Medium Term Expenditure Framework and Fiscal Strategy paper released on Friday, said the recently approved Regulations governing the administration of the Electronic Money Transfer Levy (EMTL) is expected to boost collections of the revenue.

The government said it would also ensure proper monitoring of banks and other financial institutions to conduct reconciliation and to ensure deduction and remittance of the levy.

The revenue projection from the EMTL for next year is, however, lower than the current year’s target of N209.7 billion as set in the amended 2022 framework. In 2021, the government had projected N500 billion revenue from the levy but realised N111.84 billion at the end of the year.

It should be noted that the EMT levy was introduced in the Finance Act 2020, which amended the Stamp Duty Act and taps into the growth in electronic funds transfer in Nigeria.