Web Editor | ConsumerConnect

Aggregate value of transactions through various electronic payment (e-payment) channels in Nigeria has increased by 103 per cent to N231.247 trillion as of June 2019, compared with N138.672trillion recorded in 2018.

The volume of transactions also jumped by 42 per cent in the period under review, from a total of 2,163,779,156 recorded in 2018, to 3,068,922,121 in the first six months of 2019.

The figures were contained in the latest industry e-payment data for the half year 2019 obtained from the Central Bank of Nigeria (CBN).

ThisDay reports a breakdown of the figures indicated that total value of interbank e-payment transactions in the period under review was N203trillion and total volume at 1,756,300,720.57.

The data also showed that while the combined value of Automated Clearing House System/NAPS/PMS stood at N2.271trillion and volume at 3,416,537 in the period under review, ATM transactions stood at N11.596trillion in the first six months of 2019, with total volume of 424,619,677.

The value of point of sales (Pos) transactions recorded in the period under review was N1.384trillion, the volume was 187,695,159, while internet (web) transactions’ value stood at N233.903billion with total volume at 47,976,900.

The industry recorded total value of mobile money transactions of N1.966trillion; with volume at 104,773,933 and Nigerian Instant Payment (NIP) value of N49trillion, with total volume at 504,160,651.

E-bills/PAY transactions amounted to N281billion, with volume at 616,651; Remita which also recorded total value of N9.839trillion and volume at 21,614,846; M-cash with total value of N381billion and volume at 119,197; and Central Pay with total value at N2.835 trillion and volume at 398,520.

However, the value of cheque transactions within the same period was N2.271trillion with total volume of 3,416,537.

The CBN has been aggressive in its drive to discourage cash transactions with its Governor, Mr. Godwin Emefiele, September 2019, saying the banking sector regulator would continue to implement the cashless policy in line with its mandate to ensure an efficient payment system.

According to Emefiele, contrary to claims in some quarters that many Nigerians would suffer the negative impact of the policy, only about five to 10 per cent of bank customers would be affected.

The CBN, in a recent circular, had announced that from September 18, it would impose three per cent processing fees on withdrawals and two per cent processing fees on lodgments of amounts above N500, 000 for individual accounts.

For corporate accounts, nonetheless, banks would charge five per cent processing fees on withdrawals and three per cent processing fee on lodgments of amounts above N3 million.

But Emefiele stated if the Nigerian economy is to compete effectively with those of developed countries, there is a need to enthrone a payment system that encourages the use of non-cash channels.

He said before the cashless policy was first inaugurated before he assumed office, many stakeholder engagements were done to sensitise Nigerians.

According to him, the policy was suspended to allow more payment channels to be developed by banks.

“Since the policy was first launched, currency management costs have continued to increase year-on-year at an average annual growth rate of 33 per cent.

“Notwithstanding, electronic transactions have increased within the economy. We have provided alternative channels and people have embraced it,” he added.

In the meantime, the September 2019 Business Expectations Survey Report by the CBN showed that at 26.7 index points, respondents expressed optimism on the overall confidence index (CI) in the macroeconomy in September 2019.

The business outlook for the period showed greater confidence on the macroeconomy with 59.0 index points.

Summary of industry e-payment figures (January ─ September 2019)

Channels	Volume	Value
Cheques	5,339,207	3,370,618,154,501
ACH/NAPS/PMS	32,591,744	17,966,006,189,365
ATM	637,446,114	4,861,354,810,064
PoS	309,040,167	2,240,487,311,012
Internet (Web)	74,669,767	344,470,138,769
Mobile Money	217,841,265	3,393,856,125,334
NIP	803,149,223	75,532,068,750,446
EBillsPay	874,983	428,893,076,842
Remita	34,723,637	14,816,789,309,238
m-Cash	196,245	511,484,268
Central Pay	509,793	4,037,037,409
Intra-bank e-payment transactions	89,885,201,152	304,782,795,625,953.00

 Source: Central Bank of Nigeria (CBN)