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Customers of fintech companies like Opay, Moniepoint, and Kuda are expressing frustration over the recent implementation of the Electronic Money Transfer Levy (EMTL) on their transactions.
The levy, which took effect on September 9, 2024, imposes a ₦50 charge on electronic transfers of ₦10,000 or more, similar to the fees already applied to traditional bank customers.
Introduced under the Finance Act 2020, the EMTL aims to increase government revenue by charging recipients of electronic transfers.
Fintech users had previously enjoyed avoiding this fee, but with the new regulations, they are now subject to the same charges as customers of Deposit Money Banks (DMBs).
Over the weekend, fintech companies notified their customers about the levy, emphasizing that it is a government-mandated charge, with no benefit to the fintech firms themselves.
Opay, for example, clarified in a statement that the ₦50 fee is required by the Federal Inland Revenue Service (FIRS) and does not profit the company.
This change reflects the government's efforts to regulate the growing fintech sector and ensure consistency in financial laws across all platforms.
While customers view the levy as an added financial burden, the government sees it as essential for maintaining a level playing field between fintechs and traditional banks.
