Nigerian Banks Experience A 38.9% Revenue Surge Due to The Implementation of CBN’s Cashless Policy
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Recent reports reveal that the combined revenue from electronic banking of 10 listed banks surged by 38.9% last year, driven by the Central Bank of Nigeria (CBN) cashless policy.
According to the bank’s latest financial statement, the total revenue rose from N427 billion to N309 billion in 2022.
The banks include; Access Holdings Plc, Zenith Bank Plc, United Bank for Africa (UBA) Plc, FBN Holdings Plc, Guaranty Trust Holding Company (GTCO) Plc, Fidelity Bank Plc, FCMB Group Plc, Stanbic IBTC Holdings Plc, Sterling Financial Holdings Company Plc, and Wema Bank Plc.
UBA recorded the highest electronic banking revenue of N125.5 billion, followed by Access Holdings with N101.6 billion. FBN Holdings, Zenith Bank, and GTCO had N66 billion, N51.8 billion and N40.8 billion respectively.
Recall that the Central Bank of Nigeria in 2012 commenced a cashless policy journey within Nigeria’s banking sector.
It is impressive to observe the determination of the CBN to follow through with the laudable cashless policy that it introduced into Nigeria’s banking system.
As the apex bank had explained, the cashless policy is majorly aimed at scaling up financial inclusion and also in money laundering, terrorism financing, advance fee fraud, graft, ransom payment, extortion, and other crimes.
It is worth noting that last year, the Nigerian financial system was listed as one of the top 10 globally with the country ranked sixth in instant payments.
According to the CBN all infrastructure that is needed to ensure a smooth working cashless system such as the CBDC, online banking, Payment System Banks (PSBs), point of sale terminals (POS) agent banking, mobile banking, and ATMs have since been deployed.
