Effect of cashless policy on the performance of deposit money banks in Nigeria

Authors

  • Solomon Andortan Andortan Department of Accounting, University of Calabar, Cross River State, Nigeria
  • Sunday A. Effiong Department of Accounting, University of Calabar, Cross River State, Nigeria
  • Eyibio Okon Ikpe Department of Accounting, School of Management Sciences, Federal polytechnic Ugep Cross River State, Nigeria

DOI:

https://doi.org/10.33003/fujafr-2026.v4i2.345.%25p

Abstract

Purpose: This study examined the effect of cashless policy on the performance of deposit money banks in Nigeria.

Methodology: The study adopted an ex-post facto research design using annual time series data obtained from the Central Bank of Nigeria Statistical Bulletin covering the pre- and post-cashless policy periods from 2009 to 2019. Multiple regression analysis was employed to examine the relationship between Automated Teller Machine (ATM), Point of Sale (POS), Internet Banking Transactions (IBT), and Return on Assets (ROA).

Results and conclusion: The findings revealed that POS transactions have a positive and statistically significant effect on the performance of deposit money banks in Nigeria. Internet Banking Transactions showed a significant but negative relationship with bank performance, while ATM transactions exhibited a positive but weak relationship with ROA. The study concludes that cashless policy significantly influences bank performance in Nigeria through electronic payment channels.

Implication of findings: The study recommends that deposit money banks should strengthen digital payment infrastructure, improve cyber security systems, and encourage the use of electronic payment channels to enhance profitability and reduce dependence on physical cash transactions.

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Published

21-06-2026

Issue

Vol. 4 No. 2 (2026): June 30, 2026

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Articles

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Copyright (c) 2026 Solomon Andortan Andortan, Sunday Effiong, Eyibio Okon Ikpe

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How to Cite

Andortan Andortan, S., Effiong, S. A., & Okon Ikpe, E. (2026). Effect of cashless policy on the performance of deposit money banks in Nigeria. FUDMA Journal of Accounting and Finance Research [FUJAFR], 4(2). https://doi.org/10.33003/fujafr-2026.v4i2.345.%p

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