Effect of Cashless Economy on Micro and Small Scale Businesses in Nigeria

Abstract

The purpose of this paper is to examine the impact of cashless policy on micro and small scale businesses in Nigeria. The objective of the study is to determine the possible implication of a cashless economy on micro and small scale businesses in Nigeria. It will also proffer solution to the impending challenges that micro and small scale businesses will face in a cashless society. Finally it will re-echo the role of policy makers on the survival of micro and small scale businesses.

The researcher therefore, reviewed existing literature on the concept of cashless society and its effect on micro and small scale businesses. Recommendations on how to effectively implement the cashless policy in other to encourage micro and small scale business owners to be part of it were highlighted. It was concluded that if necessary measures are not put in place and the necessary stakeholders to the policy carried along with considerations on how the policy may affect them, the cashless policy will adversely affect micro and small scale businesses and may engineer their failure.

Key Words: Cashless economy, micro and small scale businesses, electronic payment