The Central Bank of Nigeria (CBN) has unveiled a major financial reform strategy aimed at bringing about N2.83 trillion held outside the banking system back into formal channels while expanding digital financial access to an additional 50 million Nigerians by 2028.
The initiative is part of the Nigeria Payments System Vision 2028, launched by CBN Governor Olayemi Cardoso in Abuja, as the apex bank seeks to strengthen payment infrastructure, deepen financial inclusion, reduce dependence on cash, and position Nigeria as a leading digital payments hub in Africa.
The announcement comes ahead of Nigeria’s 2027 general elections, a period when concerns over cash-heavy political activities, campaign financing, and vote-buying typically increase attention on the volume of currency circulating outside formal financial institutions.
Speaking at the launch, Cardoso said the new payments roadmap was designed not only to modernise transactions but also to stimulate economic growth, support businesses, and improve access to financial services.
“Today, we unveil more than a payment strategy. We unveil a vision for how Nigerians will transact, trade, save, invest, and participate in an increasingly digital economy,” he said.
CBN Plans to Move N2.83tn Into Formal Economy
The CBN Governor said the bank aims to reduce cash outside the banking system to below 40 per cent of total money in circulation by 2028.
Recent CBN data showed that currency outside banks stood at about N5.08 trillion, representing a significant portion of total currency in circulation.
Achieving the new target would return an estimated N2.83 trillion into the formal financial system, potentially improving banking sector liquidity, strengthening monetary policy transmission, and increasing the capacity of financial institutions to support lending and economic activity.
Cardoso stressed that cash dependence remains a major barrier to transparency, productivity, and financial inclusion.
“Cash should no longer be king,” he said, while emphasising the need to build stronger public confidence in digital payment systems.
50 Million More Nigerians Targeted for Financial Inclusion
Beyond reducing cash circulation, the CBN said the Payments System Vision 2028 aims to increase financial inclusion levels to 95 per cent by bringing 50 million more Nigerians into the formal financial ecosystem.
The move is expected to benefit market traders, farmers, entrepreneurs, young people, and small businesses by providing easier access to banking services, digital wallets, and secure payment channels.
According to Cardoso, financial inclusion is not just about opening accounts but about enabling Nigerians to participate more actively in economic activities.
“The journey is to lift people out of poverty, and the journey is to have an impact on GDP,” he said.
Digital Payments as Economic Infrastructure
The CBN described modern payment systems as a strategic national asset capable of reducing business costs, improving productivity, expanding trade, and strengthening Nigeria’s participation in regional and global markets.
The framework is built around five key pillars: payment infrastructure and interoperability, digital financial inclusion, innovation and emerging technologies, cross-border payments, and regulation and cybersecurity.
CBN Deputy Governor, Economic Policy Directorate, Dr Muhammad Abdullahi, said efficient payment systems were essential for commerce, investment, and economic competitiveness.
He noted that improved payment infrastructure would support faster transactions, open banking, real-time settlement, and stronger integration with continental initiatives such as the African Continental Free Trade Area (AfCFTA).
Supporting Nigeria’s Digital Economy Ambition
The new framework has received support from other financial regulators, including the Securities and Exchange Commission (SEC) and the Nigerian Communications Commission (NCC).
SEC Director-General Dr Emomotimi Agama said collaboration among regulators would be critical to achieving the vision, while NCC Executive Vice Chairman Dr Aminu Maida described the initiative as important to Nigeria’s ambition of building a $1 trillion economy.
The CBN said the success of the Payments System Vision 2028 would depend on effective implementation, strong cybersecurity measures, innovation, and cooperation among banks, fintech companies, telecommunications operators, and regulators.
For businesses and investors, the initiative signals Nigeria’s push toward a more formalised, transparent, and digitally driven economy, with potential benefits for trade, financial services, and long-term