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Bullion

Keywords

Electronic payment system, Automated Teller Machine, CBN

Abstract

The objective of this paper is to provide an overview of electronic payment system as it currently exists in Nigeria, discuss the strategic and technical issues as well as the monetary policy implications of the system, with focus on the needs of consumers. The paper is structured into five sections. Following the introduction, section II discusses the motivation for electronic payment system. Section III presents an overview and development of electronic payment system in Nigeria. Section IV analyzes the various strategic and technical issues in electronic payment systems as well as the monetary policy implications, while section V highlights the policy recommendations and conclusion. The study concluded that, the The Nigerian payment system is largely cash based. While the country lags behind compared with other industrial countries, its use of electronic payment systems is gradually gaining prominence. All major types of e-payments are trading upwards and some new electronic payment instruments are beginning to emerge. Clearly, cheques remain the preferred form of noncash payment in Nigeria. From the consumer's standpoint, cheques possess several attractive features.

Author Bio

The author is a staff of the Central Bank of Nigeria.

Publication Title

CBN Bullion

Issue

2

Volume

29

COinS
 
 

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