Nigeria’s e-payment transactions hit N1.07quadrillion in 2024

• Published On: 29 January 2025 at 17:16

Electronic payment transactions in Nigeria soared to N1.07 quadrillion in 2024, marking a historic milestone as the country's first quadrillion.

According to data from the Nigeria Inter-Bank Settlement System, the value of transactions on the NIBSS Instant Payment platform increased by 79.6% from N600 trillion in 2023.

E-payment data shows consistent growth through 2024, with the highest transaction value recorded in December.

In December 2024, Nigerians spent a total of N115.1 trillion through electronic channels during the festive season, which is characterized by increased spending.

Additionally, the volume of transactions processed by NIBSS increased significantly, from 9.7 billion in 2023 to 11.2 billion in 2024.

This represents a 15.5% increase in electronic transactions over the previous year.

According to industry analysts, the recent cash crunch and the Central Bank of Nigeria's cashless policy, which limits the amount of cash that can be withdrawn daily, may have contributed to the increase in e-payment transactions.

Mr. Adewale Adeoye, a Lagos-based financial analyst, stated that the reduced availability of cash in banks, compared to previous times, has prompted more Nigerians to use cashless payment methods.

According to him, those who still require cash are turning to point-of-sale operators, using their cards or making account transfers to withdraw cash.

"Electronic transactions are expected to increase because banks are no longer willing to release cash in the same way they used to. Aside from the CBN withdrawal limit, if you visit a bank today to withdraw cash, they may inform you that you cannot withdraw more than N5,000 over the counter.

"So you're forced to use ATMs, which are usually out of cash. If all else fails, you look for PoS operators or use mobile transfers," he explained.

NIBSS Instant Payments (NIP) is an account-number-based, online real-time inter-bank payment solution introduced by NIBSS in 2011.

It has emerged as the preferred funds transfer platform in Nigeria's financial industry, providing beneficiaries with instant value.