The effect of electronic payment systems on economic growth in Nigeria: evidence from 2010 to 2023
DOI:
https://doi.org/10.26565/2310-9513-2025-22-12Keywords:
Cashless Policy, Economic Growth, Financial Transactions, Payment SystemsAbstract
The effect of electronic payment systems on economic growth in Nigeria was investigated in this study using secondary data obtained from the CBN Statistical Database and NBS for the years 2010q1–Q4 to 2023q1–Q4. The impact of the transaction values of ATM, Mobilepay, POS, and Webpay on Nigeria's real GDP was specifically examined. The work used descriptive statistics and ARDL technique; and adopted an ex-post facto research design. ATM, Mobilepay, and Webpay were found to have positive and significant effects on real GDP in the short and long-term, with coefficient values of 0.26, 0.18, and 0.15 and p-values of 0.0000, 0.0482, and 0.0008 respectively, as opposed to POS, which showed a negative and significant effect on real GDP with a coefficient of -0.07 at a p-value of 0.0137. According to the study's findings, Webpay, Mobilepay, and ATM all positively impacted Nigeria's economic expansion while POS Payment System had a negative impact on real GDP growth. Given the beneficial effects of ATM use on economic growth, the study suggested that banks should promote and facilitate ATM access and use. Additionally, banks should work to increase cyber security and e-payments trust to maintain the positive effects of Webpay on real GDP.
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