Cashless Policy in Nigeria: The Journey so Far
Cashless economic policy was conceptualized by the central bank to migrate Nigeria’s economy from cash based to a cash less one through electronic payment system, this would not only enable Nigeria’s monetary system be in line with the international best practices and norms but at the same time increase the proficiency of the payment system which will in turn improve the quality of service being offered to the banking public. This paper examined the recently introduced cashless economic policy in Nigeria and the journey so far. An analysis of the policy was extensively done in respect of the rationale for its introduction, its expected benefits and products via which it will be implemented. Against the backdrop of this, we deem it necessary to employ the use of secondary sources as an effective method of obtaining data. Information was obtained from related texts, journals, bulletins of government and the Central Bank of Nigeria-CBN. The internet was also consulted in this regard, and using deductive approach, conclusions were drawn. The paper concludes that, the introduction of cash less policy in Nigeria is a step in the right direction. It is expected that its impact will be felt in modernization of the country’s payment system, reduction in the cost of banking and credit as well as reduction in high security and safety risks among others. Recommendations were also proffered for policy makers and other stake holders in view of the potential benefits of the policy on how to curb some of its impediments in order to improve its implementation.
Keywords - Cash-Based, Cash-Less, E-Payment, Payments System