IMPACT OF CASHLESS POLICY ON THE ECONOMIC GROWTH OF NIGERIA

This study examines the impact of Nigeria's cashless policy on the country’s economic growth, with a focus on the effects of Automated Teller Machines (ATM), Point of Sale (POS) systems, and Mobile Banking (MOB) on inflation rates (INF), a proxy for economic growth. Using secondary data from 2008 to 2022 sourced from the Central Bank of Nigeria, the research employs Ordinary Least Squares (OLS) regression to explore the relationship between these cashless methods and inflation. The results reveal a significant positive relationship between ATM, POS, and MOB usage and inflation rates, indicating that an increase in these cashless systems contributes to higher inflation. This suggests that while the cashless policy enhances financial inclusion, it also influences inflation dynamics in the Nigerian economy. The study concludes that Mobile Banking and POS systems play crucial roles in fostering economic growth. It recommends that the Nigerian government focus on ensuring the stability and expansion of these technologies, particularly in rural areas, to stabilize inflation, attract foreign investment, and sustain economic growth. Keywords: Cashless policy, economic growth, inflation rates, Automated Teller Machines (ATM), Point of Sale (POS), Mobile Banking (MOB), Nigeria, financial inclusion, Ordinary Least Squares (OLS), economic development.