The Central Bank of Nigeria's (CBN's) proposed cash-less policy will encourage more electronic-based transactions, the Branch Co-ordinator, Nigeria Inter Bank Settlement Scheme (NIBSS), Owoeye Oluwaseun, has said.

He explained that cash-less policy will also not eliminate the use of cash or encourage the use of only cards and other instruments.

In a lecture entitled: Cashless economy; prospects, challenges and expectations, delivered at the weekend at the Ilorin Bankers' Committee Annual Dinner in Kwara State, the banker said the cash-less policy was only aimed at reducing the amount of physical cash circulating in the economy.　 　

"It should be noted that there is no economy in the world that operates with zero cash. Rather, each strives to rely less on cash. It does not mean you cannot use cash again," he explained.

According to him, the cash-less policy would reduce cases of armed robbery and other cash-related crimes.

He added: "It also minimises associated risk of carrying huge cash for businesses and enhances economic growth for job creation."

Besides, he said it reduces revenue leakages, corruption and makes it possible for electronic notification of all transactions on customer's account.

He called on the government, the CBN and other relevant stakeholders to encourage traders and retail market operators in the market to embrace the policy and to assure them their money would be safe.

Kwara State Governor 　Abdulfatah Ahmed said the policy had the potential of enhancing consumer banking and further the development of banking in the country.

The governor, represented by Finance Commissioner, Ademola Banu, said his administration recognises private sector as a vital partner in the match towards a greater Kwara State.

He added that he would continue to support such policies and other innovations in the private sector, which have the potential to benefit the people and businesses at large.

The Branch Controller of the CBN, Mr Onoriode Olotewo, restated the commitment of the CBN to provide framework for economic development and achievement of food security of the Federal Government through risk mitigation programmes and schemes.