The value of electronic transactions in Nigeria in 2024 rose by 79 per cent compared to the previous year to a record high of N1.08qd (quadrillion)

This is according to the latest data from the Nigeria Inter-Bank Settlement System on the value of NIBSS Instant Payments.

The NIBSS Instant Payments is an account-number-based, online real-time Inter-bank payment solution developed in the year 2011 by NIBSS. It guarantees instant value to the beneficiary.

An analysis of the data showed that the value of electronic transactions has grown steadily in 2024 from N72.11tn in January to the highs of the last quarter when in October, NIP transactions stood at N103.21tn and rose to N109.53tn in November before hitting N115.12tn in December.


January, which recorded the lowest monthly value at N72.11tn, was higher than the value from all the months in the previous year indicating an increased embrace of digital means of payment.

On the volume side, electronic transactions increased by 13.69 per cent from 11.69 billion to 13.92 billion at the end of 2024.

The highest volume of transactions in 2024 was recorded in May at 1.02 billion and the lowest was in June at 871.66 million.

Effective January 9, 2023, the Central Bank of Nigeria announced an upward review of its cash withdrawal policy across all payment channels by individuals and corporate organisations.

The apex bank said the new policy on cash-based transactions was to reduce the amount of physical cash circulating in the economy and to encourage the use of electronic means for the payments for goods, and services among others.

According to CBN, the cashless policy will reduce the cost of banking services including the cost of credit, and drive financial inclusion by providing more efficient transaction options and greater reach; improve the effectiveness of monetary policy in managing inflation and driving economic growth; provide increased convenience and more service options for consumers and reduce the risk of cash-related crimes, particularly banditry, ransom taking and terrorism financing as well as provide cheaper access to banking services and access to credit.

On financial inclusion, the EFInA Access to Finance Survey revealed that more Nigerians are now captured in the formal banking system even as gaps persist.

https://punchng.com/cashless-economy-deepens-as-electronic-transactions-hit-n1-08qd/