The federal government is planning to develop regulations to guide the operations of e-commerce platforms in the country, alongside provisions for cyber insurance for users.
This initiative is detailed in the draft National Digital Economy and E-Governance Bill, currently under review by the National Assembly, as reported by Nairametrics.
Section 40 of the Bill mandates the National Insurance Commission (NAICOM), in consultation with the National Information Technology Development Agency (NITDA), to develop and issue regulations on cyber insurance to enhance security in electronic commerce.
Sponsored by the Ministry of Communications, Innovation, and Digital Economy, the Bill is in the public engagement phase, as stated by the Ministry. In addition to regulations, the Bill outlines guidelines for e-commerce platform operations in Nigeria.
Section 39 of the Bill focuses on information requirements for e-commerce platforms, stating that sellers must provide accurate, clear, and accessible information, including their legal name, principal geographic address, and electronic contact details or telephone number to facilitate prompt and effective consumer communication and legal service.
Subsection two of Section 39 requires platforms to offer accurate and accessible information describing the goods or services offered. Subsection three emphasizes clear terms and conditions, mandating sellers to provide comprehensive information about transaction terms, conditions, and costs, including payment methods, and policies on withdrawal, termination, return, exchange, cancellation, and refund.
If passed into law, the Bill will subject major e-commerce platforms like Jumia and Konga, as well as smaller industry players, to more stringent regulations.
This could also lead to the introduction of new taxes and levies by NITDA. E-commerce platforms risk fines for any violations of the law pertaining to their operations.
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