In March 2024, Nigeria’s digital money, eNaira, was less than 1% of all money being used, almost three years after it started.
Central Bank of Nigeria (CBN) data showed that out of N3.87 trillion in circulation by March 2024, eNaira was only N13.98 billion.
This means eNaira is just 0.36% of all the money in use in Nigeria.
But, the amount of eNaira grew by 1,896% from N700.75 million in October 2021.
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eNaira began in October 2021 to include more people in financial activities. It helps Nigeria move towards using less cash.
Creating an eNaira wallet is easy, even if you don’t have a bank account.
You can download the eNaira Speed Wallet app from Google Play Store and iOS Store.
CBN also introduced a USSD code, *997#, so that people without smartphones can create an eNaira wallet.
The app allows Nigerians to create both personal and business wallets. For a personal wallet, you need a phone number, email, BVN, and date of birth. For a business wallet, you need a phone number, email, TIN, RC number, owner’s BVN, business account number, and date of birth of the business owner.
There are three types of personal wallets: Bronze, Silver, and Gold.
The Bronze and Silver wallets are for people without bank accounts. Bronze needs only a mobile number, while Silver requires a National Identification Number (NIN) and mobile number. Both have limits on how much you can use.
The Gold wallet requires your BVN and bank details.
CBN worked with banks, fintech companies, and stores to help people start using eNaira.
They also added rules and incentives to make people use eNaira.
For example, CBN waived transaction fees for eNaira users until 2023 and required service providers to have at least N50 million.
CBN also gave guidelines on preventing money laundering and terrorism financing in the eNaira system.
The central bank introduced eNaira for receiving money from abroad.
Even though eNaira is the world’s second digital currency by a central bank, its adoption has been slow.
The International Monetary Fund (IMF) said the eNaira had low adoption due to fewer downloads among users.