Nigeria’s Shift to a Cashless Economy: Nigerians may lose all their savings.

With Nigeria’s move towards a cashless economy, many citizens are at risk of losing their money to internet scammers and fraudsters. As a software engineer, I understand the challenges and risks of onboarding non-technical users to online banking. To ensure that the transition to a cashless economy does more good than harm, there are several measures that must be put in place.

First, new internet users’ transfer capabilities should not be enabled by default. This will prevent accidental or unauthorised transfers that could result in financial loss.

Second, transfer limits should be set based on the account’s inflow, not a fixed amount. This allows for flexibility and protects users’ funds.

Third, Education is also a critical factor in the shift to a cashless economy. The education provided should be localised and communicated in common and multiple languages that people can easily understand. This will help users to make informed decisions and protect their money.

Fourth, instead of giving users full access to their savings, using a digital wallet is a safer option. This allows users to store only the funds they need for immediate transactions and protects the rest of their savings.

Next, creating an enabling environment for startups to innovate is also essential. This can help to improve the technology used for online banking and reduce the risk of financial fraud.

Furthermore, to further enhance security, the banking system’s identity should be tightened to ensure that end-users can be traced easily in case of financial fraud. Lastly, a body should be established to help with swift financial fraud recovery.

This will ensure that affected users are able to recover their funds in a timely and efficient manner.

In conclusion, the transition to a cashless economy in Nigeria presents both opportunities and challenges. By implementing these measures, we can protect non-technical users from financial fraud and ensure that the move to a cashless economy benefits most citizens.