Nigeria e-payments reach record highs

ePayment.jpg

ePayment. Photo by Punch Nigeria

from OKORO CHINEDU in Lagos, Nigeria
Nigeria Bureau
LAGOS, (CAJ News) – THE total value of electronic transactions in Nigeria has hit a record high of N345,1 trillion (US$767,69 billion).

The figure for January to November 2022 represents a 43-percent increase from the previous.

Most recent data from the Nigerian Inter-Bank Settlement System (NIBSS) indicates the total value of e-transactions recorded under the NIBSS Instant Payments (NIP) platform increased by 13 percent month-on-month (m/m) and 51 percent year-on-year (y/y) to N39 trillion last November.

November’s figure represents the highest value of monthly transactions recorded on the platform.

FBN Quest believes this largely reflects the sustained growth of e-payments in Nigeria, Africa’s largest economy and biggest country by population, estimated at 218 million people.

“The NIP platform has become one of the most preferred methods of payment,” the market watcher stated.

The steady rise in mobile telephony and growing internet penetration across the West African country is driving e-payments growth.

Meanwhile, the relevance of cheques is waning.

Payments through the channel were flat y/y at N280 billion.

“Payments made through cheques are gradually becoming less popular,” FBN Quest stated.

The think-tank believes the Central Bank of Nigeria’s decision to limit the weekly cash withdrawals for individuals and corporate entities, aimed at reducing the circulation of the Naira currency, will further accelerate the growth of e-payments across its various payment channels.

– CAJ News

 

 

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