Journal of Applied Finance & Banking

Managing Social Change: The Case of Central Bank of Nigeria’s ‘Cashless’ Policy

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  • Abstract

    The objective of this study is to review the recently introduced cashless policy in Nigeria and in particular, assess peoples’ behaviours and attitudes towards the policy in Lagos where it is operational. It is found that while 92% of the sample is aware of the cashless policy, only 58% actually understands it; that most of the respondents use ATMs and that they do so because of convenience and safety while those who avoid the cashless channels do so because of fraud and operational lapses. As an interim verdict, 72% of the respondents believe that the cashless policy is necessary; only 40% believe that the CBN approach to its implementation is the best but only 36% believe that the policy will succeed. The 64% who believe that the policy would fail justify their doomful predictions on the power supply situation, poor implementation and non availability of cashless channels in the rural areas. The study recommends that the CBN builds on the shortcomings as revealed in the study to fine-tune the policy going forward while banks should improve their cashless channel operations and be willing to share the gains of cashlessness with their customers.