CBN moves to revive eNaira, expand digital financial access

The Central Bank of Nigeria (CBN) is making efforts to revive its digital currency, the eNaira, to improve trust and increase access to digital financial services across the country.

The eNaira was launched in October 2021 to help more people join the financial system, but its usage has remained low. The CBN blames this on a lack of public awareness and is now taking steps to improve the system and increase its adoption.

At a recent CBN Fair in Lagos, themed “Driving Alternative Payment Channels as Tools for Financial Inclusion, Growth and Accelerated Economic Development,” the CBN’s Lagos Branch Controller, Sunday Daibo, said the bank is focused on including more people in digital financial systems. He said that alternative financial services, such as mobile money, agency banking, USSD services, internet banking, contactless payments, and the eNaira, are no longer just options but necessary tools to help underserved people access formal financial services. These tools, he added, do more than process payments; they help empower individuals and improve economic participation.

He described the event as a way of showing Nigeria’s united effort toward financial inclusion, economic growth, and national development.

Also speaking at the event, the CBN’s Acting Director of Corporate Communications, Hakama Sidi Ali, said the bank, under Governor Olayemi Cardoso’s leadership, is focused on increasing productivity, ensuring more people are financially included, and maintaining price stability. She said this approach has led to more foreign investments, better trade outcomes, and a rise in the number of people using financial services.

She explained that the CBN’s exchange rate unification policy has helped stabilize the foreign exchange market and reduce unfair profit opportunities. The bank has also cleared over seven billion dollars in outstanding foreign exchange commitments. The introduction of the Nigeria Foreign Exchange Code has improved the way the forex market is managed. The recapitalization of banks is expected to strengthen the banking sector and prepare it to support Nigeria’s goal of building a one trillion dollar economy.

Ali said the aim of this public engagement is to educate Nigerians about how CBN policies and innovations can improve their lives and support national development. To protect customers, the CBN introduced the Unified Complaints Tracking System, which helps manage complaints against financial institutions. A USSD code, *959#, was also launched to help verify licensed financial institutions.

She reminded Nigerians to treat the Naira with respect by not spraying, mutilating, or counterfeiting it, saying it is a symbol of national identity.

Other CBN officials emphasized that the bank’s overall strategy is centered on keeping the economy stable. They noted that the administration has adopted an inflation-targeting approach, which has helped stabilize the Naira and keep inflation under control. They also pointed to recent improvements in digital platforms and cybersecurity measures aimed at protecting financial data and systems.

Participants at the event raised concerns about the stability of the banking system and customer service.

These concerns were addressed by CBN officials from departments in charge of payment systems, financial inclusion, consumer protection, currency operations, and financial markets.