An Appraisal of Cashless Economy Policy in Development of Nigerian Economy

Abstract

This paper is motivated by the seeming inadequacy of Nigeria in adopting and implementing the cashless economy policy. The problem is defined by Nigeria’s backdrop level of development both technologically and educationally. The objective of the study is to examine its significant benefits and essential elements, and to check the extent to which it can enhance the growth of financial stability in the country. Two research hypotheses were formulated in line with the objectives of the study. The descriptive research design was adopted for the study with a sample size of 68. The convenience sampling technique was used. The questionnaire which was structured was the main instrument used for data collection. The data collected was subjected to face validity test, and was tested with ANOVA and chi – square (x²) technique was used to test the hypotheses. The results indicate that: majority of Nigerians are already aware of the policy and majority agree that the policy will help fight against corruption/money laundering and reduce the risk of carrying cash. Major problems envisaged to hamper the implementation of the policy are cyber fraud and illiteracy. Based on the findings some recommendations made are: the government should adopt a different strategy to educate the non-literate Nigerians about the cashless economy; and a framework should be worked out to provide cyber security in Nigeria.

Key Words: cashless economy, financial stability, Policy development and Nigerian economy