=Paper=
{{Paper
|id=Vol-1755/71-78
|storemode=property
|title=“Were We Ready in the First Place?”: An Analysis of Cashless Policy Implementation in Nigeria
|pdfUrl=https://ceur-ws.org/Vol-1755/71-78.pdf
|volume=Vol-1755
|authors=Oluwfemi Osho,Temidayo Helen Ajisola,Agada David Onoja,Joel Nnamdi Ugwu
|dblpUrl=https://dblp.org/rec/conf/cori/OshoAOU16
}}
==“Were We Ready in the First Place?”: An Analysis of Cashless Policy Implementation in Nigeria==
https://ceur-ws.org/Vol-1755/71-78.pdf
“Were We Ready in the First Place?”: An Analysis of
Cashless Policy Implementation in Nigeria
Oluwafemi Osho Temidayo H.Ajisola Agada D. Onoja Joel N. Ugwu
+2348034106811 +2347063194947 +2347039165474 +2348063305810
ABSTRACT be positively correlated with the development of the economy [4],
st
On 1 January, 2012, Nigeria commenced the implementation of [5], being a tool for more effective, convenient and faster methods
cashless policy, with the kick-off in Lagos State. By the end of of buying goods and rendering of services. This explains why
that year it was evident the implementation could not be extended several governments and their financial institutions have been
to other states of the federation, as earlier scheduled. This raised a taking steady steps towards achieving a cashless society.
crucial question: was Nigeria prepared in the first place, in terms The benefits of adoption of cashless economy include reduction in
of availability of needed infrastructures, to commence corruption and the cost of services by banks (such as cost of
implementation of the cashless economy? This study seeks to credit), increased operational efficiency, improved financial
answer this question. In addition, it identifies potential inclusion, via providing alternatives that aid easy transactions and
consequences of implementation on the security of the nation’s greater reach, and improved efficiency of the monetary policy in
cyberspace. Both primary and secondary data were collected. Our managing the rate of inflation and driving the growth of the
findings reveal that when the implementation of the cashless economy [4], [6], [7], [8], [9]. Other benefits include increased
policy kicked-off, awareness, required infrastructures, and the convenience in transaction; promotion of e-commerce; reduction
security of the country’s cyberspace were inadequate. We suggest in circulation of fake currency, theft of cash from individuals,
that the consequences of implementing cashless policy in Nigeria money laundering, and stockpiling of cash in houses by corrupt
will have various security effects on the Nigerian cyberspace if government officials [6], [8], [10].
the level of awareness and existing infrastructures are not
improved. However, implementing cashless policy poses some risks. Since
personal information and data will now reside online, it becomes
CCS Concepts increasingly difficult to curb internet hackers and thieves. Other
• Information systems ➝Information systems application demerits are potential increase in cyber crimes, increased
➝Web applications ➝Electronic commerce ➝Secured online sophistication in operation of hackers and scammers, increase in
transactions theft of ATM, credit and debit cards, to mention but few [4], [8],
[11]. This underscores why a secure national cyberspace is
Keywords fundamental to the success of cashless policy implementation.
Cashless society, cashless economy, cashless policy,
Activities of hackers and other cyber criminals have always posed
implementation, subscribe.
different threats to the cyberspace. Activities such as phishing
attack, website spoofing by masquerading, creating different
1. INTRODUCTION entity similar to the operated entity, identity theft, virus attacks,
A cashless economy is one in which a given society is regulated to key loggers and cracking encryption channels that are guarding a
have the least needed amount of cash in circulation, the rest of system are capable of stifling the capacity of the cyberspace to
which is transacted electronically through the use of direct debit, support effective implementation of the cashless policy. As a
mobile payments, electronic fund transfer, internet banking, multi- result of these, the need for necessary facilities to ensure
functional Automated Teller Machines (ATMs), point of sale effectiveness, efficiency, security, privacy, integrity,
terminals (POSs), amongst others [1], [2]. Simply put, a cashless confidentiality, convenience, acceptability, mobility, for
economy entails a pervasive application of various computer successful actualization of cashless economy cannot be
technologies in the financial system [3]. The system gives way for overemphasized.
goods and services to be purchased by individuals without
anything tangible being exchanged, using what is known as In line with the nation’s vision 20:20, which is being among the
electronic cash. The term money still exists, but it is more in an first 20 economies by year 2020 [8], to enable the development
electronic processes form than previously. and modernization of the payment system, to attain reduction in
cost of banking services, improve financial inclusion and
An effective and modernized payment system has been found to effectiveness of monetary policy, the cashless policy was
introduced in Nigeria, with a test run in Lagos in 1st January, 2012
[4], [5]. On 6th January 2013, the Central bank of Nigeria (CBN)
suspended the spread of the cashless policy from Lagos state to
other states. Some of the contributing factors included insufficient
CoRI’16, Sept 7–9, 2016, Ibadan, Nigeria. POS, ATM, and low level of awareness, connectivity, and
bandwidth penetration. Other challenges included low ICT
penetration and other logistics issues [12]. The suspension raised
some pertinent issues: was Nigeria prepared in the first place to
commence implementation of the cashless economy? And having
71
commenced, what are the potential consequences on the security bank-end systems and to address security concerns of external
of the nation’s cyberspace. deceives such as ATMs and PCs that are in connection to the
bank’s network. They protect computers from remote login,
This study seeks to assess the level of readiness of Nigeria, in application backdoors, Simple Mail Transfer Protocol (SMTP)
respect of provisioning of required infrastructures, when the session hijacking and macros. One other important software
implementation of the policy commenced in 2012, and identify requirement is intrusion detection system (IDS). This is a software
possible implications of implementation considering the current application or hardware device that monitors network systems for
state of her cyberspace. This study is significant in many ways. policy violations and malicious activities. Identifying possible
First, it would expose the state of Nigeria’s cyberspace at the incidents, logging information and reporting attempts are
commencement of implementing cashless policy. It also assesses primarily the functions of IDS. The IDS can be either host-based
the current capacity of the cyberspace to effectively support the or network-based [15].
policy. These would provide decision makers, including the
government, relevant agencies, IT managers, policy makers, and
other stakeholders, responsible for the Nigerian cashless policy 2.1.3 Legal Requirement
implementation, better insight into the security implications, The legal requirement consists of relevant laws, standards,
which would enable them to implement necessary strategies policies, and regulations to clearly define the roles and regulate
towards more effective implementation. the activities of the different stakeholders in the system. An
important component is the development of relevant policies on
cyber security. These based on national leadership, sharing of
2. LITERATURE REVIEW responsibilities, partnership with all concerned agencies, active
2.1 Requirements for Effective international engagement, risk management control. They enhance
Implementation of Cashless Policy both collective and individual security. According to [16], the
Effective implementation of cashes policy is predicated on the objectives of these policies are to the effect that all citizens should
availability of some requirements. These are divided into be adequately aware of cyber risks and how their computers can
hardware, software, legal, personnel, and logistic requirements. be secure, thereby protecting their finances, online privacy and
identities; to ensure smooth operations and privacy of customers;
and for the government to ensure security of the country’s
2.1.1 Hardware Requirement information and communications technologies and make them
Some of the hardware requirements include computer systems; resistant to attack from malicious hackers.
smart (debit and credit) cards, used as alternative to cash for
making purchases, for making withdrawals or deposits at ATMs, Also pertinent for effective implementation of cashless policy are
updating account information and for other transactions made in cyber laws. The availability, confidentiality, and integrity of
the banks. Others are smart phones, which provide services such information being stored, processed, and communicated
as multimedia message service (MMS), email, short-range electronically is ultimate. Therefore, relative measures have to be
wireless communications (infrared and bluetooth), text messaging, taken to this regard. As there might be an ill effect from an
internet access, business applications, supporting online increase in cybercrime on the economy, country and society at
transactions [9], [13], [14]; and Point-of-Sale (POS) terminals [6], large, there is need for activities of law enforcement, regulatory
an equivalent of an electronic cash register, which aids detection, and strong legal frameworks to enhance the operations
transactions through the use of smart chip cards, credit cards, of a cashless economy. Strong legislative Acts are required for
debit cards, and other electronically-dependent transactions in a comprehensive, effective and unified legal framework catering for
traditional retail environment. the prevention, detection, banning, prosecution, and punishment
for cyber crimes in the nation [14].
2.1.2 Software Requirement A third component is the monetary policy. Cashless policy
These are the software components used to drive and secure the enhances the payment system of a country. It regulates the cash
different hardware. They include phishing detection tools, to collection and lodgment in the country and stipulates that there
detect and block suspicious sites. For example, when a customer exists a monitor and feedback mechanism that allows the full
transacts on a fake website, these tools can be used to detect the adoption and smooth implementation of cashless economy in a
Domain Name System (DNS) roots of the sites. Anti-phishing country. A monetary policy ensures that there is a limit to cash
software can be installed on the customer’s computer, so as to withdrawal and lodgment fees for corporate and individual
detect addresses that are not on the database during a transaction. customers [14], [17].
Another requirement is antivirus software. They are used in
detecting, preventing and removing malware such as virus, 2.1.4 Personnel Requirement
worms, hijacker, key loggers, root kits, Trojan horses, spyware, These comprise Payment Terminal Services Provider (PSTP),
and backdoors. Antivirus software enhances computer security, Computer Emergency Response Team (CERT), Communications
protecting it from social engineering attacks. Real time protection and Media Authority (CMA), and the Attorney-General’s
and access scanning are provided by most antivirus, anti-spyware Department (AGD). PTSPs, amongst other things, are engaged in
and anti-malware software. It prevents attackers from having proper maintenance/support of infrastructure to ensure
access to banking information [14]. A third requirement in this effectiveness of POS operations. Their services include all aspects
category is firewall. This filters information coming into a relating to both terminal management and support, and not limited
computer system or private network through the internet, to purchase and replacement of spare parts, provision of training,
preventing flagged packet of information from going through. repairs, connectivity, and development of value-added services
Firewalls are used in controlling traffic flowing in and out of the [14]. The CERT facilitates information sharing and improves
network. They can be used to prevent direct connection between
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response co-ordination to cyber threats between citizens and the introduction of an MICR-based technology and the first
Government. They help in identifying and analyzing high level automated clearing process in Lagos [4]. Other efforts include
cyber-attacks as well as other cyber events, aiding response across establishment of frameworks and guidelines on payments system
the private sector systems and government infrastructure. They [4], licensing of Payments Terminal Service Providers (PTSPs)
ensure that access to information on cyber security threats are and 14 mobile payment schemes, campaigns and public awareness
available to the community, including vulnerabilities in their [18]. Banks and non-bank stakeholders also embarked on
systems, how information can be better protected and the potential measures to promote the cashless initiative. Within the space of
consequences of an incidence in the information technology seven months, the number of PoS terminals increased from 6,019
environment [16]. to 89,700 [7]; number of registered merchants reached 151,717 by
July 2012 [5]. Major initiatives in the implementation of the
The Communications and Media Authority (CMA) is responsible cashless policy are presented in Figure 1 [20].
for broadcasting regulations on the internet, radio and
telecommunications. It contributes to the objectives of cyber After wide consultations with relevant stakeholders, the
security by gathering evidence, assisting in preventing identity implementation of the policy, termed ‘Cashless Lagos,’ kicked off
theft, computer fraud and regulatory obligations in regard to in Lagos on 1st January, 2012 [4], [18] and was expected to
criminal misuse and illegal act, and makes sure standards are met commence officially in the rest of the country by January, 2013
by the telecommunications providers and Internet Service [5], [8]. Seven months into the implementation of the policy in
Providers (ISPs). The last component of this requirement, the Lagos, many challenges had surfaced: insufficient and unevenly
Attorney-General’s Department (AGD), consists of security spread PoS terminals, many instances of deployed but yet-to-be-
policy protection departments, criminal law and the law configured PoS terminals, frequent network downtime which were
enforcement that collectively provide harmonization of cyber affecting completion of transactions, Short Cash conversion cycle,
security policies, which includes international collaboration and lack of clarity on allocation of handling charges, transparency in
crisis management as well as protection of security policies for the manner settlements were to be carried out for PoS
government agencies. They oversee such government business transactions, clearly-defined data and network security standards
partnerships as CERT, and provide guidance on cyber security to across electronic payment channels, and availability and stability
owners and critical infrastructure operators [16]. of mobile money platforms [7]. Nweke [5] recommended some
pre-conditions that should be met before the proposed nationwide
2.1.5 Logistics Requirement take-off in 2013. These, amongst others, included provision of
The logistic requirement includes standards on application and necessary payment infrastructure: power supply, mobile telecoms
system software; standards for computer network and internet; infrastructure, electronic clearing technology; relevant legal and
and high speed/broadband internet technologies, which describes regulatory framework, and a law enforcement agency equipped to
a broad range of technologies that provides higher rate of data adequately tackle cyber-crime and internet fraud. However,
access to the internet, supporting faster World Wide Web overwhelmed by the challenges during the ‘Cashless Lagos’
(WWW) browsing, file download, virtual private networks and exercise, the earlier plan to extend the cashless policy to the rest
remote system administration [14]. Also, there is absolute need of the country was readjusted to commence in the Federal Capital
for international engagement. The global challenges of cyber Territory (Abuja), Abia, Anambra, Kano, Ogun, and River States
security require multilateral or bilateral efforts with key ally effective July 1, 2013.
nations to strengthen cyberspace. Increase in multilateral forums A critical appraisal reveals that the introduction of the cashless
with relevant international bodies is necessary to enhance policy has recorded little success [21]. In spite of measures so far
international efforts in development of global standards, legal deployed, e-payment fraud has continued to pervade the country’s
system capacity to combat cybercrime, promotion of situational banking-sphere. In six months, up to N20 billion was lost to
awareness, strategic warning and even response [16]. fraudsters. This was despite report by CBN on reduction in ATM
card fraud upon the introduction of chip-and-PIN cards [21], and
2.2 Implementing Cashless Policy in Nigeria institution of ATM Anti-Fraud Committee, which was upscaled to
Prior to the commencement of the implementation of the cashless E-Payment Fraud Forum [18]. There were instances where
policy in Nigeria, the banking sector was rife with investment hackers were found to fix tools on ATMs that harvest passwords
environments characterized by high risk, corruption, payment of customers who come to transact using the machines. In 2013
fraud, poor credit administration, lack of credit facility, and alone, according to CBN, N40 billion was lost to electronic frauds
system unreliability [4]. Having identified the need to reduce [22].
significantly the industry’s cost to serve, the CBN, in alliance with
the Banker’s committee, initiated a shared service program with 3. MATERIALS AND METHODS
five key areas in focus: cash management, payment systems To achieve our objectives of assessing the level of readiness of
transformation, IT infrastructure and services, IT standards, and Nigeria, in respect of provisioning of required infrastructures,
back office operations. Transformation of the payments system when the implementation of the policy was commenced in 2012,
became the key driver. Out of the payments transformation and identifying possible implications of implementation
initiative was borne the cashless policy [18]. The policy was considering the current state of her cyberspace, the study used
aimed, amongst many, to reduce cost of maintenance of cash- both primary and secondary data. We believe effective
based economy by 90% [19]. implementation is anchored on adequate awareness and
Part of the efforts by the CBN towards modernizing the payments availability of necessary infrastructures. Consequently, we
system was initiating the National Payments System (NPS) in collected self-report data to collate views on the state of these
2005 [5], automating the cheque clearing system through the factors. Also, relevant documents are investigated to ascertain the
73
available quantity and/or quality, as the case may be, of selected the requirements. Specifically, in respect of infrastructures, the
basic requirements, during the period when the implementation of study focused on the e-index of the country; number of available
the cashless policy was commenced in Nigeria. The variables are ATMs, POSs; availability of broadband technology, enabling
then compared with international standards and/or world average. laws, CERT; and the authentication methods commonly in use.
The indices are used to determine the adequacy or otherwise of
Figure 1. Some major milestones in the implementation of the cashless policy [20]
questionnaires were distributed. Out of these, 219 were returned.
3.1 Participants 37 were found to be invalid. Consequently, 182 were used for
analysis. There were slightly more male respondents, 51.6% v.
To collate primary data, a survey was conducted in 2013 in Lagos,
48.4%. Most were within the ages of 21 – 30 (46.7%), students
Ekiti, and Niger States. The choice of Lagos was natural being the
(56.0%), and aware of the term cashless society and government’s
state where the cashless policy implementation was kicked off.
The research instrument used was questionnaire. A total of 250
74
plan to implement it (87.9%). The demographic compositions of in their failure to adequately create awareness of the policy.
the respondents are presented in Table 1. Specifically, 94.7% of unemployed, 90.2% of students, and 72.1%
of employed respondents reported government effort was
insufficient. The study was found to be significant
Table 1. Demographic profile of respondents ( ).
Freq % In terms of adequacy of infrastructures provided for the kick-off
Sex of the cashless policy, more of the females, compared to the male,
Male 94 51.6 96.6% v. 83.0%, felt the available infrastructures were inadequate
Female 88 48.4 ( ). In the same vein, more females,
Total 182 100.0 97.7% v. 78.7%, rated the country’s cyberspace not secure enough
to support implementation of the policy
Age ( ).
< 20 42 23.1
21 – 30 85 46.7
31 – 40 35 19.2 Table 2. Assessment of readiness to implement cashless policy
41 – 50 16 8.8 Freq %
51 – 60 3 1.6 Adequacy of awareness by government
> 60 1 0.5 Yes 28 15.4
Total 182 100.0 No 154 84.6
Total 182 100.0
Occupation
Student 102 56.0 Adequacy of necessary facilities
Employed 61 33.5 Yes 19 10.4
Unemployed 19 10.4 No 163 89.6
Total 182 100.0 Total 182 100.0
Aware of the term cashless society Security of the country’s cyberspace
and government’s plan to Yes 22 12.1
implementate it No 160 87.9
Yes 160 87.9 Total 182 100.0
No 22 12.1
Total 182 100.0
4.1.1 E-Index
3.2 Measures The ICT Development Index (IDI) is a composite index which is
The questionnaire used for the survey had three sections. The first used to combine 11 indicators into one benchmark measure
section sought information on respondent demographics. The (presented on a scale from 0 to 10) that compares and monitors
second section bordered on perception about government’s effort the developments in information and communication technology
in terms of awareness, the country’s readiness in respect of (ICT) across countries. A country with Low level of ICT
availability of necessary facilities, and the security of the nation’s development, indicated by an IDI value below or equal to 2.33, is
cyberspace to support implementation of the cashless policy. In not making enough effort into catching up in terms of ICT
the last section, respondents were asked if they were willing to developmental progress. This group of countries, referred to as
subscribe to the cashless policy, considering the state of least connected countries (LCCs), has very low levels of ICT
infrastructures. Those who expressed unwillingness were then uptake and use. Between 2011 and 2012, these countries recorded
requested to select reason(s). Respondents were also asked to the smallest increase in the average IDI value. In majority of
indicate potential consequences of implementation, considering LCCs, internet access are very limited, low-speed, very expensive
the state of infrastructures. Lastly, they were asked if they would and used by small percentage of the population. LCCs also tend to
be willing to subscribe if necessary requirements are put in place. have very low fixed and mobile broadband penetration levels, and
most only launched and commercialized 3G mobile-broadband
networks relatively. The LCCs include many of the world’s least
4. FINDINGS developed countries (LDCs), with majority in Africa. They also
4.1 Readiness to Implement Cashless Policy include some highly populated countries that are not LDCs, such
As can be seen from Table 2, most respondents believed the as Nigeria, India and Pakistan. Considering the ICT Development
government did not do enough, in terms of creating awareness of Index (IDI) for 2011 and 2012, Nigeria was ranked 123 in 2011
the cashless policy (84.6%), and necessary infrastructures were and 122 in 2012 out of 157 countries in the world [23].
not adequately put in place (89.6%) before the implementation of
the policy was commenced in 2012. Equally, most felt the 4.1.2 PoS Terminals
country’s cyberspace was not secure enough to support the kick- As at March, 2012 the PoS density per 100,000 people in Nigeria
off of the implementation (87.9%). was 13. Countries such as India had 67 PoS per 100,000 adults,
Respondents who were unemployed, compared with those who Kenya had 88, Namibia 338, Uganda 453, , Malaysia and South
were students and employed, were most critical of the government Africa 1,063, Singapore 1,889, United State 2156, Brazil 2193,
New Zealand 3,916, and Australia 3,939 [5],[18], [24].
75
4.1.3 ATM (55.8%), and unavailability/insufficiency of required
In 2012, the value for ATMs per 100,000 adults in Nigeria was infrastructures (53.5%).
only 11.9, while other country such as Thailand had 77.95, South For potential consequences of commencing the implementation of
Africa 60.01, Brazil 120.6, United Kingdom 122.77, United State the cashless policy, considering the state of infrastructure, most of
173.43, Australia 166, Canada 208.98, and Japan 129.04 [24]. the respondents believed it would lead to increase in card theft
(77.5%), number of hackers (72.0%), internet or cybercrimes
4.1.4 Availability of Broadband Technology (68.1%), and sophistication of hackers’ operations (60.4%).
In the area of broadband, while 2G mobile enjoyed significant
When requested again to indicate their willingness to subscribe to
coverage, which was at 98%, 3G technology coverage was less
the policy, with necessary infrastructures in place, 94.5% of the
than 35%. And this was found to be mostly focused in the urban
respondents reported they would subscribe.
areas. Though, internet penetration had attained 33%, broadband
penetration was only at a mere 6% [25]. Table 3. Willingness to subscribe to cashless policy and
potential consequences of implementation
4.1.5 Enabling Laws Freq %
By 2012, necessary bills such as Cyber Security Bill and Willingness to subscribe, considering state of infrastructures
Cybercrime Bill were yet to be passed by the Nigerian National Yes 96 52.7
Assembly. Even the likes of Information Protection Agency Bill, No 86 47.3
Computer Security and Critical Information Infrastructure Total 182 100.0
Protection Bill, the Cyber Security and Data Protection Agency
bill, the Electronic Fraud Prohibition Bill, Computer Misuse Bill Reason(s) for unwillingness to subscribe
were all pending in the National House of Assembly, yet to Low awareness level 67 77.9
become law [26]. Unavailable/insufficient infrastructures 46 53.5
Inefficient operators 40 46.5
4.1.6 Authentication Methods in Use Likely increase in card theft 53 61.6
The authentication mechanism used by banks for transactions in Fear of leakage of sensitive personal information 48 55.8
Nigeria was mainly log-in passwords. However, in addition to the Nigerian government cannot be trusted 40 46.5
password, some of the banks also adopted the use of hardware Others 11 12.8
token and PINs [27].
Potential consequences of implementation of cashless policy
Increase in card theft 141 77.5
4.1.7 Availability of CERT Increase in internet or cybercrimes 124 68.1
As at 2012, when the implementation of cashless policy was Increase in number of hackers 131 72.0
commenced, Nigeria had no CERT to share information, identify, Increased sophistication in operations of hackers 110 60.4
analyze sophisticated cyber attacks and respond to cyber security Increased privacy risk of customers’ information 84 46.2
threat. Others 13 7.1
4.2 Willingness to Subscribe to Cashless Willingness to subscribe if necessary requirements are put in place
Yes 172 94.5
Policy and Potential Consequences of No 10 5.5
Implementation Total 182 100.0
When asked to indicate their intention to subscribe to the cashless
policy, considering the state of infrastructures which they had
agreed were inadequate, slightly more respondents (52.7%) 5. DISCUSSION
indicated they were willing. Compared to the employed and The objective of this study was evaluating how ready Nigeria was,
unemployed, the students were most willing in subscribing to the in the provisioning of necessary requirements, when the
policy, regardless of the state of the infrastructures. The implementation of the policy commenced in 2012, and identifying
percentage among students, employed, and unemployed potential implications of implementation considering the current
respondents were 63.7%, 42.6%, and 26.3% respectively. The state of her cyberspace. From the findings, most respondents
finding was significant ( ). Having were aware of concept of cashless economy and government’s
understanding about the concept of cashless economy and plan to implement it. Confirming the results of [4], [7], [28], the
knowledge of government’s decision to implement it was found to level of awareness by relevant bodies was inadequate. In the same
increase the likelihood of subscribing to the policy. While 55.6% vein, most respondents believed availability of necessary
of those aware of what cashless economy was were willing to infrastructures, and the security of the country’s cyberspace were
subscribe, only 31.8% of those who reported they had no inadequate at the time implementation of cashless policy was
understanding indicated willingness. This finding was equally commenced in Nigeria in 2012. Secondary data supported these
significant ( ). findings.
Among those who were unwilling to subscribe, low awareness A critical look at the current level of implementation makes
level ranked as the most common reason (77.9%). Other reasons evident the fact that most of the challenges, which were cyber-
indicated by most in this category were potential increase in card related, are still being faced. For instance, the CBN set a target for
theft (61.6%), fear of leakage of sensitive personal information the deployment of over 400,000 PoS terminals in 2015, with the
hope of accelerating PoS density in the country to 2,247 per
76
100,000 people by the end of the same year [18], [29]. However, 6. CONCLUSION
by first half of 2014, number of deployed PoS was 121,886 [30]. From our study, it was evident that Nigeria was ill-prepared when
By 2015, the number was still around this range [31]. In 2014, the implementation of cashless policy was kicked-off in Lagos in
number of ATMs had increased to just 16.05 per 100,000 adults 2012. Unfortunately, much has not changed in terms of available
[32]. In 2014, fixed broadband penetration was 0.01 per 100 infrastructures. This poses potential risks to the cyberspace, and
people, international internet bandwidth was 3.15 bits/sec per much more the economy, of the country. These findings highlight
internet user, and by 2015, the number of secure internet servers the necessity of continuous and more intense awareness,
was 3 per million people [33]. These could have been responsible increasing and improving existing infrastructures, and
for the poor connectivity experienced by PoS users in Lagos, as strengthening the security of the cyberspace.
reported by [28] as part of their findings.
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