Nigeria’s E-Payment Transactions Hit N284.9 Trillion in Q1 2025, Driven by Fintech Growth and Cashless Shift
Electronic payment transactions in Nigeria soared to ₦284.9 trillion in Q1 2025, according to the latest figures from the Nigeria Inter-Bank Settlement System (NIBSS). The report highlights the nation’s accelerating transition to a cashless economy, with a 22% increase compared to ₦234.4 trillion recorded in Q1 2024.
Breakdown of E-Payment Growth: January to March 2025
The NIBSS Instant Payment (NIP) platform, which underpins online real-time interbank transfers, played a major role in this surge. NIP supports various electronic channels such as internet banking, mobile apps, USSD, POS, and ATMs.
Here’s a breakdown of the transaction values in Q1:
- January: ₦100 trillion
- February: ₦88.8 trillion
- March: ₦96 trillion
In terms of transaction volume:
- January: 792 million
- February: 687.5 million
- March: 735.5 million
The volume trends mirror the value growth, with a temporary dip in February before rebounding in March.
Factors Driving the Rise in Electronic Payments
Several factors are contributing to the rise in e-payment transactions in Nigeria:
- Cash scarcity in the early months of 2025 prompted more businesses to accept bank transfers and digital payments.
- The proliferation of fintech startups has led to increased account ownership, especially among small businesses and unbanked populations.
- Digital literacy campaigns and mobile penetration have further fueled the adoption of electronic channels for daily transactions.
NIBSS Launches National Payment Stack to Power Next-Gen Payments
To complement the success of NIP, NIBSS has unveiled a new payment infrastructure—the National Payment Stack (NPS)—which is poised to redefine Nigeria’s instant payment ecosystem.
Speaking during the launch in Lagos, NIBSS Managing Director, Premier Oiwo, stated:
“With NPS, we didn’t just build another instant payment system. We laid the foundation for Nigeria’s financial future.”
Key Features of the National Payment Stack (NPS):
- Real-time transactions and instant settlements
- Advanced ISO 20022 messaging standard
- Support for both bulk and single payments
- Efficient dispute resolution system
- KYC verification via BVN, RC Number, or TIN
- Request-to-Pay and Direct Debit features
- Multi-currency and cross-border readiness
- Sandbox-enabled integration in under 48 hours
- Enhanced fraud prevention and risk monitoring
Oiwoh emphasised that the NPS is strategically aligned with Nigeria’s ambition to build a $1 trillion economy within eight years. He added that the platform would strengthen digital payment innovation, deepen financial inclusion, and support government tax collection and social intervention programs.
Outlook for Nigeria’s Digital Payment Future
With transaction values approaching ₦300 trillion per quarter, Nigeria is quickly solidifying its position as one of Africa’s most dynamic digital payment economies. The launch of the National Payment Stack signals a proactive approach to modernising the nation’s financial infrastructure, with emphasis on:
- Seamless user experience
- Inclusion of underbanked communities
- Cross-border interoperability
- Faster integration for fintech partners
As fintechs, regulators, and banks collaborate more closely, the future of cashless Nigeria looks increasingly promising.
