The Central Bank of Nigeria (CBN) said 1.4 billion electronic transactions valued at N97.4 trillion were processed in 2017, as against 869 million transactions valued at N69.1 trillion recorded in 2016.
The apex bank also said it was working hard on attaining 80 per cent financial inclusion target of 2020, but identified low financial awareness, low literacy levels and other stumbling blocks that must be dismantled to realize set goals.
The Governor of CBN, Godwin Emefiele, made the disclosure in Abuja at the National Financial Literacy Stakeholders conference with the theme: “Implementing Financial Literacy and Consumer Protection to advance Financial Inclusion in Nigeria”.
Emefiele, who was represented at the event by the Deputy Governor, Financial Systems Strategy, Aishah Ahmad, pointed out that improving financial literacy in Nigeria was very key considering the revolution currently witnessed in the payment system.
He said: “Today, the financial system is probably the most affected by technological advancement. New digital products and services have emerged and the internet greatly influences consumers’ purchasing decisions as they continue to adopt e-commerce.
“Whilst these developments are no doubt good for the financial system and are expected to aid our financial inclusion efforts, they are accompanied by a myriad of challenges, some of which are privacy and security concerns, requiring enhanced privacy and data protection for consumers; exposure to new and more inventive fraudulent practices which requires stakeholders to double their combat efforts.
“Others are that consumers are now confronted with multiplicity of information which may lead to information processing errors. As such, concerns around accuracy, reliability of information as well as transparency continue to grow.
“The industry is also faced with an increasing complexity of financial products and services accompanied by consumers’ lack of information or capacity to understand such products and/ or their associated risks. Thus enhanced disclosure has therefore, become very essential”, he explained.
The CBN Governor said the benefits of a financially literate population were immense.
“Consumers are better equipped to make optimal choices in the use of financial products, pose lower credit and default risk, constitute a market for sustainable financial services and products, reinforce competitive pressure on financial institutions for better products and services, and promote financial system stability by increasing market demand and responsible use of financial services.
“In 2012, Nigeria launched a National Financial Inclusion Strategy and adopted a target to achieve 20% exclusion rate by 2020. The latest Access to Financial Services Survey by EFInA indicates that about 36.8% of eligible Nigerian adults do not have access to financial services.”