New stamp duty shifts costs to senders as banks update systems, squeezing Nigerians already coping with inflation, fees, and rising prices nationally.
Nigeria will begin charging a new government levy of ₦50 on electronic bank transfers exceeding ₦10,000 starting January 1, 2026, adding another layer of cost to everyday financial transactions in Africa’s most populous nation.
The fee, known as a stamp duty, applies to each qualifying transfer and will be deducted directly from the sender’s account. It is separate from existing bank charges and applies regardless of the bank or digital platform used, according to changes already reflected on some banking apps.
Under the new arrangement, transfers of ₦10,000 or less are exempt, as are self-transfers between accounts held by the same customer within a single bank. Previously, the duty was often charged to recipients, but the burden has now shifted entirely to senders, marking a notable change in how the levy is applied.
The introduction of the charge comes at a difficult moment for many Nigerians. Inflation remains elevated, household incomes are under pressure, and families are navigating a surge in school fees, transportation costs, and post-holiday expenses. For millions, frequent electronic transfers are not a luxury but a necessity, used daily to pay suppliers, send money to relatives, or settle small business transactions.
Read Also: Nigeria And French Authorities Aligns To Modernize Tax Systems
Although the ₦50 charge may appear modest in isolation, consumer advocates warn that its cumulative effect could be significant, particularly for low-income earners and informal traders who rely on multiple transfers each day. Nigeria has one of the world’s most active digital banking populations, with electronic payments now central to commerce and personal finance.
The rollout of the levy has also drawn criticism for the lack of public communication. There has been no broad national announcement detailing how the charge would be implemented, leaving many customers to discover the deduction only after initiating transfers.
Government stamp duties on electronic transactions are not new in Nigeria, but analysts say the latest adjustment highlights a growing reliance on small, transaction-based levies to boost public revenue. Critics argue such measures, when introduced quietly, risk eroding trust in the financial system and disproportionately affecting those least able to absorb additional costs.
Banks have not indicated that they will absorb the charge on behalf of customers, meaning senders will continue to bear the full cost unless policies change.
As the new year begins, the levy is likely to intensify debate over the balance between government revenue generation and the financial resilience of Nigerian households already stretched by a challenging economic climate.
