Nigeria’s Vision for a Cashless Future
Nigeria’s Interbank Settlement System (NIBSS) has announced an ambitious plan to eliminate transfer fees on its NIBSS Instant Payment (NIP) platform by 2026. This initiative is aimed at accelerating the country’s shift from a cash-based economy to a smart, digitally driven financial system. The move is expected to significantly boost digital transaction adoption and support broader financial inclusion.
Premier Oiwoh, managing director and chief executive officer of NIBSS, made this announcement at the Globus Bank Fintech Summit 2025 in Lagos. During his keynote address titled “From Cashless to Smart Economies: Shaping the Next Frontier of Financial Innovation,” Oiwoh outlined the strategic vision for Nigeria’s digital transformation.
According to Oiwoh, the initiative will replace the current per-transaction fee with a subscription-based model. This change will make digital transfers free at the point of use, effectively removing one of the major barriers that prevent millions of Nigerians from adopting digital transactions. He emphasized that the cost and perceived value of digital transactions are critical factors influencing user behavior.
“Our biggest competition is not fintechs or banks; it is cash on the street,” Oiwoh said. “A man with ₦100 or ₦1,000 will avoid digital transactions if fees make them more expensive than cash. By next year, we will begin the process of eliminating NIP fees entirely, moving to zero cost and a subscription model. This will unlock innovation and encourage adoption.”
Strengthening National Payment Infrastructure
Oiwoh stressed that Nigeria must take deliberate steps to strengthen its national payment infrastructure, foster interoperability, and enhance resilience if it is to truly build a smart economy. He pointed to India and China as examples of countries that implemented coordinated national strategies to drive financial inclusion. Oiwoh warned that Nigeria’s siloed approach—where banks, fintechs, and regulators often work separately—could limit progress.
“It’s not about opening a bank account. Beyond that, people must be economically included. Until we have a deliberate national action plan led at the highest level of government covering infrastructure, devices, and connectivity; our financial inclusion will continue to exclude many,” he noted.
Customer trust and stability must remain at the heart of payment innovation, according to Oiwoh. “The customer should not suffer. Nigerians deserve reliability and solid stability in digital payments.”
Recent Achievements and Future Innovations
Highlighting recent achievements, Oiwoh revealed that Afrigo, Nigeria’s national card scheme launched in 2023, has processed over ₦70 billion worth of transactions in 2025 alone, with more than one million cards in circulation. Uniquely, Afrigo offers instant credit on point-of-sale transactions, a feature he described as a global first.
He further disclosed that the upcoming multipurpose national ID card, to be rolled out by the National Identity Management Commission (NIMC), will carry the Afrigo payment rail. This will allow millions of Nigerians to access financial services directly through their national identification card.
Cybersecurity and Fraud Prevention
Oiwoh used the platform to call for greater investment in cybersecurity and fraud prevention. He warned that insider collaboration remains one of the most dangerous threats facing digital payments. “There is no fraud in this country today that we don’t understand how it happened,” he said, referencing the NIBSS Hawk platform, which has foiled several major fraud attempts.
He cautioned financial institutions against placing profitability above compliance, warning that such negligence exposes the system to devastating risks.
