Early this year the Central Bank of Nigeria CBN introduced a policy called cashless policy using Lagos and Abuja as pilot scheme.
Ever since, it has generated argument concerning the benefit of the so called cashless policy.
The cashless policy has been introduced into the developed western world over 30 years ago. It has also been introduced into some other African countries like Kenya called M-pesa. Though, it was successfully run in those mentioned countries.
There are many problems that may lead to the collapse of this laudable policy called cashless. Expert are of the opinion that the level of illiteracy in our country may not allow this policy to succeed while other says lack of awareness may also haunt the success of the policy.
At the early stage the Central Bank of Nigeria instruct the bank that they must can’t allow anybody to withdraw more than N250,000 pay for individual N1,000,000 one million for in case of corporate body. Later on the CBN changed it to N500, 000 for an individual and N3, 000,000 for corporate body. Any transaction more stipulated will attract charges both individual and corporate body respectively.
I was embarrassed when I went for a vacation with my family in New York and we needed to do some shopping, we went to a supermarket, we were the only one who is to pay with cash. In fact the attendant asks me are you from Nigeria? –anonymous.
The policy has discouraged many people for saving their money with any bank. But take it or leave it the policy is here to stay. We all must adjust to the change for us to achieve vision 2020 20.
A lot of people are looking at the security aspect of it. I mean putting their lives on the line looking at how save they are. The expert says the safety is guaranteed because the debit cards carried PIN and CHIPS which make it saver to use.
But I can tell you even in the western world where it was actually started from they still face the issue of hackers and they lost a lot of money annually.
1) It will limit the cash transactions
2) It will help you to know and monitor how much you are making and spending on daily basis.
3) It will reduce corruption in the society.
4) It will reduce the Ghana- must-go issue.
5) It will make small businesses grow and give access to profitability.
6) It will bring comfortability.
7) It will prevent leakages of funds.
You would not need to go as far as Alaba to buy your electronics. You will be able to do all your transaction at the comfort of your home.
I advice operators to make it trustworthy for everyone and CBN should also try to break the links among the banks and the operators. For instance, in some other part of the world where this policy has been introduced if you have Visa card, PayPal, MasterCard and many others you can use it anywhere without any hiding charges. But, is not the case here. There should be connectivity between the banks without charges. So that if am using X-bank I can comfortably use my debit in any branches of Y-bank without any hiding charges for my transaction.
This will also add to the success of the policy.