Implications of Covid-19 Pandemic on Cashless Policy Implementation among Small and Medium Scale Businesses in Nigeria

Abstract

Before the introduction of the cashless policy by the Central Bank of Nigeria in 2011, the Nigerian economy was heavily cash-oriented in its transaction of goods and services contrary to the global trends. Nigeria has continued to evolve in different realms of transactions from the commodity money (trade by barter) to the cash-less realm. The economy is being reformed, institutions are being reshaped and legislations are being re-examined so as to reposition the nation to take its rightful place in the international community. The operations of a cashless economy were assessed based on the use of Cheques, funds transfer channels and Automated Teller Machines (ATMs). This study examines the implications of COVID-19 pandemic on cashless policy implementation among small and medium scale businesses in Nigeria. Content analysis as the research methodology was adopted and carefully utilized to x-ray the importance, benefits and challenges of the policy. Built on the benefits, importance and challenges of the policy, the authors made recommendations that there should be public enlightenment on the importance and benefits of cashless policy. This is because most Nigerians are not aware of the benefits of electronic payments and are therefore slow to adopt it.