CASHLESS POLICY: THE IMPACT ON IT TO CITIZENS

ABSTRACT

This study investigates the impact of Nigeria's Cashless Policy, implemented in 2012 to promote electronic payments and reduce reliance on cash, particularly in Edo State. Using a mixed-methods approach, the research aims to understand the level of electronic payment adoption, assess the policy's impact on financial behavior and attitudes, and identify challenges and opportunities. The findings of this study have implications for various stakeholders. The government can gain insights into policy effectiveness and areas for improvement. Financial institutions can enhance their services to cater to Edo State's residents. Businesses may benefit from reduced transaction costs if customers embrace electronic payments. Citizens can better understand the benefits and strategies for overcoming adoption barriers. This research contributes to the literature on cashless policies, focusing on Edo State, with expected completion in 2023. The literature review covers cashless policy objectives, benefits, and perspectives, emphasizing Nigeria's experience. It also discusses implementation mechanisms and key electronic facilitators of cashless policies. Despite growth, barriers like low financial literacy and trust issues persist. The research design employs a descriptive approach with 200 respondents in Benin City, Edo State. Validity and reliability tests ensure data quality. The study is grounded in the Innovation Diffusion Theory and employs SPSS for data analysis. The study highlights high electronic payment adoption, with demographic variables having limited influence. Recommendations include promoting e-payment systems, enhancing network infrastructure, and monitoring fraud. Future research may explore regional studies and barrier mitigation strategies.