Nume Ekeghe
Data released by the Nigeria Inter-Bank Settlement System (NIBSS) has shown that electronic transfer transactions reached an impressive amount of N566.39 billion in the first seven months of 2024.
This significant growth reflects the increasing consumer confidence in digital payment solutions and the advancements in financial technology that have made payments more accessible and efficient.
The year started off strongly, with January reporting a total of N72.11 billion in electronic transfers, as more Nigerians turned to digital platforms for their transactional needs.
This positive momentum continued into February, with the total amount rising to N79.33 billion, indicating a growing reliance on electronic payments among consumers. In March, electronic transactions further increased to N83.05 billion, signaling a strong inclination towards cashless payments as digital banking options become increasingly mainstream.
April witnessed a slight decline in activity, with transactions falling to N75.32 billion. This change may be influenced by seasonal spending patterns and the typical financial behavior of consumers during that period.
However, the market rebounded in May, with electronic transfers reaching N87.48 billion, driven by increased consumer spending and engagement with various digital platforms. June’s figures stabilized at N79.59 billion, reflecting consistent activity in electronic transactions and solidifying the trend towards cashless solutions. July concluded the period with the highest monthly total of N89.50 billion, indicating a robust increase in electronic payment activity as more users shifted towards digital solutions.
The cumulative total of N566.39 billion not only highlights the growing acceptance of electronic transfers in Nigeria but also signifies a broader societal shift towards embracing technology in everyday financial transactions.
In addition to the growth in digital payments, NIBSS data also revealed that Nigeria’s Point of Sale (PoS) transactions amounted to N6.23 trillion in the same period. However, this figure represents a noticeable year-on-year decline compared to N7.88 trillion recorded during the first seven months of 2023.
Although January 2024 witnessed a 5.32% increase in PoS transactions, amounting to N850.09 billion compared to N807.16 billion in January 2023, the subsequent months experienced lower volumes. From February to May 2024, there were declines, with April recording the most significant drop of 21.95% to N811.78 billion, down from N1.04 trillion in April 2023.