AWARENESS AND INFLUENCE OF THE FEDERAL GOVERNMENT’S CASHLESS POLICY ON THE ECONOMY OF THE UYO LOCAL GOVERNMENT AREA, AKWA IBOM STATE, NIGERIA
Keywords:
Cashless policy, Federal Government of Nigeria, Awareness, Benefits, EffectsAbstract
2023 was eventful in Nigeria as it saw Naira buying Naira due to the implementation of the new Naira design and enforcement of the cashless policy. This study investigated the level of awareness and influence of the Federal Government Cashless Policy on the economy of the Uyo Local Government Area of Akwa Ibom State. The study also assessed how the electronic money transfer influenced consumer’s behaviour; how mobile banking affects the inflow and outflow of cash among business owners; and if the electronic money transfer promoted increase banking habit and growth of e-banking, and the negative effects associated with the policy. The study population consisted of employees in Banks, POS Agents, Traders, and Consumers. The sample size for the study was 378 derived using Simple random and purposive sampling techniques. The design for the study was a cross-sectional survey research design using a qualitative approach. The questionnaire and key informant interview (KII) were the major instruments of data collection. Data were analyzed using simple percentages, thematic and content analysis. Findings revealed that most respondents, although actively using electronic banking platforms, online transactions through mobile apps and other banking services, do not know much about cashless policy. The findings also revealed that the cashless policy has drastically reduced the volume of physical cash in circulation. The study recommends among others that: Federal and State Governments through the National Orientation Agency, in collaboration with financial institutions and media houses should increase the campaign and awareness of the cashless policy as awareness is limited. Also, information about the benefits and potential risks of electronic and mobile banking services should be extended to the rural communities who may be uninformed. Banks need to be checkmated by the CBN about their service charges on e-transaction to enhance the full benefits of a cashless environment.
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