Cashless Policy in Nigeria: Effects, Challenges and Prospects

Obasanmi Jude Omokugbo; Imasuen Osasere Festus

doi:doi:10.11648/j.jfa.20200801.13

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Cashless Policy in Nigeria: Effects, Challenges and Prospects

Obasanmi Jude Omokugbo, Imasuen Osasere Festus

Published in Journal of Finance and Accounting (Volume 8, Issue 1)

Received: 3 December 2019 Accepted: 13 January 2020 Published: 10 February 2020

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Abstract

This study is to investigate the effects, challenges and prospects of cashless policy on the Nigerian Economy. The objectives of the study are to examine: the effects of cashless policy, the challenges of cashless policy and the prospects of cashless policy on the Nigerian economy. The hypotheses of the study are: there are no significant effects of cashless policy on the Nigerian economy: there are no significant challenges of cashless policy on the Nigerian economy, and there are no significant prospects of cashless policy on the Nigerian economy. In carrying out the study, primary data was used which was sourced through questionnaire. A total of one thousand, two hundred questionnaires were passed and after careful monitoring and supervision, there was hundred percent retrieval and used for the analyses. In analyzing the result, simple frequencies, percentages and t-statistics were used to analyze the research hypotheses. From the analyses, it was found that cashless policy has positive effect on the growth of Nigerian economy. Also, respondents were of the opinion that the introduction of cashless banking in Nigeria has increased the cost of e-payment transactions as well as the normal bank charges as they are required to pay for various e-cards aside from indirect payment for technologies acquired to run cashless business venture by the banks. It was concluded that, in as much as the policy is good, there should be a conscious efforts at improving on information and communication infrastructure that will enhance speed in service delivery, internet security framework to check online fraud so that the public can be assured and protected against cyber attacks and fraud.

Published in	Journal of Finance and Accounting (Volume 8, Issue 1) This article belongs to the Special Issue Financial Inclusion , Accounting Perspectives and Development
DOI	10.11648/j.jfa.20200801.13
Page(s)	18-23
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Cashless Policy, Challenges, Prospects, E-Commerce, Nigeria

References

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[2]	Izuogu, C. E. (2012). Enhancing Online Consumer Confidence in the Cashless Economy. Business Day Online, http://businessdayonline.com/NG/index. php/law/cover/34766-enhancing-onlineconsumer-confidence-in-the-cashless-economy. Retrieved 23/8/2019.
[3]	CBN (2017). Cashless Lagos Implementation: New Cash Policy Stakeholder Engagement Sessions (October). Online: http://www.cenbank.org/cashless/Cashless%20Lagos%20Presentation_November.pdf retrieved 11/10/2019.
[4]	Ngango, A., Mbabazize, M. and Shukla J. (2015), E-Banking and Performance of Commercial Banks in Rwanda. A Case of Bank of Kigali. European Journal of Accounting Auditing and Finance Research, Vol. 3 (4), 25-57. Retrieved from http://www.eajournals.org/wp-content/uploads/E-Banking-and-Performance-of-Commercial-Banks-in-Rwanda.pdf on 12/4/2019
[5]	CBN Website (2013). New Cash Policy, Presentation for the Interactive Engagement Session with Stakeholders on Cash-Less Lagos, Stakeholder Session-Supermarket Operators.
[6]	Basel, C. (2008). Risk Management for Electronic Banking and Electronic Money Activities‖, Basel Committee Publications, No. 35.
[7]	Woodford, M. (2013): Interest and Prices: Foundations of a Theory of Monetary Policy. Princeton University Press.
[8]	Roth, B. L. (2016). “The Future of Money: The Cashless Economy-Part 1”. Extracted fromhttps://www.x.com/.../future-money-cashless-economy on October 2, 2019.
[9]	Rifat, O. S. (2013). Key Issues in E-Banking Strengths and Weaknesses: The Case of Two Jordanian Banks. European Scientific Journal, 9 (7), 239-263.
[10]	Ochei, L. C. (2012). Effective strategies for monitoring and controlling overspending in a cashless society: Lessons for citizenship empowerment. African Journal of Computing & ICTs, 5 (5): 159-162.
[11]	Okoye, P. V. C. and Raymond, E. (2013). An appraisal of cashless economy policy in development of Nigerian economy. Research Journal of Finance and Accounting, 4 (7): 237-252.
[12]	Lawal, A. (2012): “Impact of the cashless economic policy on card uptake in the country”, Lagos, being a text of speech delivered by the Director, Switching and Processing, Interswitch during a media briefing on the Verve promo. November.
[13]	Nwankwo, O. And Eze, O. R. (2013): Electronic Payment in Cashless Economy of Nigeria: Problems and Prospect. Journal of Management Research, 5 (1), 138-151.
[14]	Claudia, C. and P. De Grauwe (2001): Monetary Policy in a Cashless Society‖, Brussels, CEPR Discussion Study.
[15]	Marco, A. and L. Bandiera (2004): Monetary Policy, Monetary Areas and Financial Development with Electronic Money, IMF Working Study, IMF.
[16]	Humphrey, D. B. and A. N. Berger (2006): Market Failure and Resource Use: Economic Incentives to Use Different Payment Instruments‖., New York, Monograph Series in Finance and Economics.
[17]	Daniel, D. G., R. W. Swartz, and A. L. Fermar, (2014): Economics of a Cashless Society: An Analysis of Costs and Benefits of Payment Instruments‖, AEI-Brookings Joint Center.
[18]	Adu, C. A. (2016): Cashless Policy and Its Effects on the Nigerian Economy. European Journal of Business, Economics and Accountancy 4 (2): 81-82.
[19]	Ayodele, T. D. (2015), Nigerian Payment Systems through Electronic Banking (EBanking): A Review. International Journal of Transformations in Business Management. 5 (2), 27-33. Retrieved from: http://www.ijtbm.com/images/short_pdf/1434773582_Ayodele_Thomas_3.pdf on 19/8/2019

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APA Style

Obasanmi Jude Omokugbo, Imasuen Osasere Festus. (2020). Cashless Policy in Nigeria: Effects, Challenges and Prospects. Journal of Finance and Accounting, 8(1), 18-23. https://doi.org/10.11648/j.jfa.20200801.13

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ACS Style

Obasanmi Jude Omokugbo; Imasuen Osasere Festus. Cashless Policy in Nigeria: Effects, Challenges and Prospects. J. Finance Account. 2020, 8(1), 18-23. doi: 10.11648/j.jfa.20200801.13

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AMA Style

Obasanmi Jude Omokugbo, Imasuen Osasere Festus. Cashless Policy in Nigeria: Effects, Challenges and Prospects. J Finance Account. 2020;8(1):18-23. doi: 10.11648/j.jfa.20200801.13

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@article{10.11648/j.jfa.20200801.13,
  author = {Obasanmi Jude Omokugbo and Imasuen Osasere Festus},
  title = {Cashless Policy in Nigeria: Effects, Challenges and Prospects},
  journal = {Journal of Finance and Accounting},
  volume = {8},
  number = {1},
  pages = {18-23},
  doi = {10.11648/j.jfa.20200801.13},
  url = {https://doi.org/10.11648/j.jfa.20200801.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20200801.13},
  abstract = {This study is to investigate the effects, challenges and prospects of cashless policy on the Nigerian Economy. The objectives of the study are to examine: the effects of cashless policy, the challenges of cashless policy and the prospects of cashless policy on the Nigerian economy. The hypotheses of the study are: there are no significant effects of cashless policy on the Nigerian economy: there are no significant challenges of cashless policy on the Nigerian economy, and there are no significant prospects of cashless policy on the Nigerian economy. In carrying out the study, primary data was used which was sourced through questionnaire. A total of one thousand, two hundred questionnaires were passed and after careful monitoring and supervision, there was hundred percent retrieval and used for the analyses. In analyzing the result, simple frequencies, percentages and t-statistics were used to analyze the research hypotheses. From the analyses, it was found that cashless policy has positive effect on the growth of Nigerian economy. Also, respondents were of the opinion that the introduction of cashless banking in Nigeria has increased the cost of e-payment transactions as well as the normal bank charges as they are required to pay for various e-cards aside from indirect payment for technologies acquired to run cashless business venture by the banks. It was concluded that, in as much as the policy is good, there should be a conscious efforts at improving on information and communication infrastructure that will enhance speed in service delivery, internet security framework to check online fraud so that the public can be assured and protected against cyber attacks and fraud.},
 year = {2020}
}

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TY  - JOUR
T1  - Cashless Policy in Nigeria: Effects, Challenges and Prospects
AU  - Obasanmi Jude Omokugbo
AU  - Imasuen Osasere Festus
Y1  - 2020/02/10
PY  - 2020
N1  - https://doi.org/10.11648/j.jfa.20200801.13
DO  - 10.11648/j.jfa.20200801.13
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 18
EP  - 23
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20200801.13
AB  - This study is to investigate the effects, challenges and prospects of cashless policy on the Nigerian Economy. The objectives of the study are to examine: the effects of cashless policy, the challenges of cashless policy and the prospects of cashless policy on the Nigerian economy. The hypotheses of the study are: there are no significant effects of cashless policy on the Nigerian economy: there are no significant challenges of cashless policy on the Nigerian economy, and there are no significant prospects of cashless policy on the Nigerian economy. In carrying out the study, primary data was used which was sourced through questionnaire. A total of one thousand, two hundred questionnaires were passed and after careful monitoring and supervision, there was hundred percent retrieval and used for the analyses. In analyzing the result, simple frequencies, percentages and t-statistics were used to analyze the research hypotheses. From the analyses, it was found that cashless policy has positive effect on the growth of Nigerian economy. Also, respondents were of the opinion that the introduction of cashless banking in Nigeria has increased the cost of e-payment transactions as well as the normal bank charges as they are required to pay for various e-cards aside from indirect payment for technologies acquired to run cashless business venture by the banks. It was concluded that, in as much as the policy is good, there should be a conscious efforts at improving on information and communication infrastructure that will enhance speed in service delivery, internet security framework to check online fraud so that the public can be assured and protected against cyber attacks and fraud.
VL  - 8
IS  - 1
ER  -

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Author Information

Obasanmi Jude Omokugbo

Department of Economics, Ambrose Alli University, Ekpoma, Nigeria
Imasuen Osasere Festus

Department of Business Administration, Delta State University, Abraka, Nigeria

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APA Style

Obasanmi Jude Omokugbo, Imasuen Osasere Festus. (2020). Cashless Policy in Nigeria: Effects, Challenges and Prospects. Journal of Finance and Accounting, 8(1), 18-23. https://doi.org/10.11648/j.jfa.20200801.13

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ACS Style

Obasanmi Jude Omokugbo; Imasuen Osasere Festus. Cashless Policy in Nigeria: Effects, Challenges and Prospects. J. Finance Account. 2020, 8(1), 18-23. doi: 10.11648/j.jfa.20200801.13

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AMA Style

Obasanmi Jude Omokugbo, Imasuen Osasere Festus. Cashless Policy in Nigeria: Effects, Challenges and Prospects. J Finance Account. 2020;8(1):18-23. doi: 10.11648/j.jfa.20200801.13

Copy | Download

@article{10.11648/j.jfa.20200801.13,
  author = {Obasanmi Jude Omokugbo and Imasuen Osasere Festus},
  title = {Cashless Policy in Nigeria: Effects, Challenges and Prospects},
  journal = {Journal of Finance and Accounting},
  volume = {8},
  number = {1},
  pages = {18-23},
  doi = {10.11648/j.jfa.20200801.13},
  url = {https://doi.org/10.11648/j.jfa.20200801.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20200801.13},
  abstract = {This study is to investigate the effects, challenges and prospects of cashless policy on the Nigerian Economy. The objectives of the study are to examine: the effects of cashless policy, the challenges of cashless policy and the prospects of cashless policy on the Nigerian economy. The hypotheses of the study are: there are no significant effects of cashless policy on the Nigerian economy: there are no significant challenges of cashless policy on the Nigerian economy, and there are no significant prospects of cashless policy on the Nigerian economy. In carrying out the study, primary data was used which was sourced through questionnaire. A total of one thousand, two hundred questionnaires were passed and after careful monitoring and supervision, there was hundred percent retrieval and used for the analyses. In analyzing the result, simple frequencies, percentages and t-statistics were used to analyze the research hypotheses. From the analyses, it was found that cashless policy has positive effect on the growth of Nigerian economy. Also, respondents were of the opinion that the introduction of cashless banking in Nigeria has increased the cost of e-payment transactions as well as the normal bank charges as they are required to pay for various e-cards aside from indirect payment for technologies acquired to run cashless business venture by the banks. It was concluded that, in as much as the policy is good, there should be a conscious efforts at improving on information and communication infrastructure that will enhance speed in service delivery, internet security framework to check online fraud so that the public can be assured and protected against cyber attacks and fraud.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Cashless Policy in Nigeria: Effects, Challenges and Prospects
AU  - Obasanmi Jude Omokugbo
AU  - Imasuen Osasere Festus
Y1  - 2020/02/10
PY  - 2020
N1  - https://doi.org/10.11648/j.jfa.20200801.13
DO  - 10.11648/j.jfa.20200801.13
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 18
EP  - 23
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20200801.13
AB  - This study is to investigate the effects, challenges and prospects of cashless policy on the Nigerian Economy. The objectives of the study are to examine: the effects of cashless policy, the challenges of cashless policy and the prospects of cashless policy on the Nigerian economy. The hypotheses of the study are: there are no significant effects of cashless policy on the Nigerian economy: there are no significant challenges of cashless policy on the Nigerian economy, and there are no significant prospects of cashless policy on the Nigerian economy. In carrying out the study, primary data was used which was sourced through questionnaire. A total of one thousand, two hundred questionnaires were passed and after careful monitoring and supervision, there was hundred percent retrieval and used for the analyses. In analyzing the result, simple frequencies, percentages and t-statistics were used to analyze the research hypotheses. From the analyses, it was found that cashless policy has positive effect on the growth of Nigerian economy. Also, respondents were of the opinion that the introduction of cashless banking in Nigeria has increased the cost of e-payment transactions as well as the normal bank charges as they are required to pay for various e-cards aside from indirect payment for technologies acquired to run cashless business venture by the banks. It was concluded that, in as much as the policy is good, there should be a conscious efforts at improving on information and communication infrastructure that will enhance speed in service delivery, internet security framework to check online fraud so that the public can be assured and protected against cyber attacks and fraud.
VL  - 8
IS  - 1
ER  -

Copy | Download