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Factors That Determine the Adoption of Nigeria’s Central Bank Digital Currency (E-Naira)

Author

Listed:
  • Ahmad Tijjani Usman

    (Department of Accounting and Finance, North-Eastern University, Gombe)

  • Bilikis Modupeola Bello

    (Department of Accounting and Finance, North-Eastern University, Gombe)

  • Sulaiman Balarabe

    (Department of Accounting, Sa’adu Zungur University, Bauchi)

  • Sunusi SHuaibu

    (Department of Accounting, Sule Lamido University, Kafin-Hausa)

Abstract

This study examined the factors that determine the adoption of e-naira, which is the Nigeria’s Central Bank Digital Currency (CBDC). The study adopted survey cross-sectional research design and collected data using primary method through self-administered questionnaire from 400 students of ATBU, FUK, and FUGA. The collected data was analyzed using PLS-Structural Equation Modelling (PLS-SEM). It was found that perceived usefulness, social influence and awareness have significant positive influence on e-naira adoption in Nigeria. Based on that, the study concludes that Nigerians are more concern about the currency’s practical benefits in their day to day financial activities and their adoption is driven by how they are aware of it as well as how the communities have confidence in its usage. Also, this study concludes that low awareness about eNaira is still a major barrier to its adoption as many Nigerians are not informed about the digital currency. In this regard, it is recommended that government through CBN should expand the practical applicability of eNaira by using it as a means of payment for youth empowerment, student loan among other social programs. It is also suggested that programs about eNaira should be promoted to trade associations, colleges or even NYSC so as to drive peer learning. Lastly, is advocated that awareness about eNaira should be accelerated through targeted, inclusive and multilingual campaign.

Suggested Citation

  • Ahmad Tijjani Usman & Bilikis Modupeola Bello & Sulaiman Balarabe & Sunusi SHuaibu, 2025. "Factors That Determine the Adoption of Nigeria’s Central Bank Digital Currency (E-Naira)," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(8), pages 6993-7006, August.
    • Handle: RePEc:bcp:journl:v:9:y:2025:issue-8:p:6993-7006
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    References listed on IDEAS

    as
    1. Vikrant Singh & Mayank Yadav, 2025. "User adoption of digital currency: A systematic review and future agenda using TCCM approach," Central Bank Review, Research and Monetary Policy Department, Central Bank of the Republic of Turkey, vol. 25(1).
    2. Marvello Yang & Abdullah Al Mamun & Muhammad Mohiuddin & Noorshella Che Nawi & Noor Raihani Zainol, 2021. "Cashless Transactions: A Study on Intention and Adoption of e-Wallets," Sustainability, MDPI, vol. 13(2), pages 1-18, January.
    3. Waseem Ahmad Khan & Zain Ul Abideen, 2023. "Effects of behavioural intention on usage behaviour of digital wallet: the mediating role of perceived risk and moderating role of perceived service quality and perceived trust," Future Business Journal, Springer, vol. 9(1), pages 1-15, December.
    4. Peterson K. Ozili & Sergio Luis Náñez Alonso, 2024. "Central Bank Digital Currency Adoption Challenges, Solutions, and a Sentiment Analysis," Journal of Central Banking Theory and Practice, Central bank of Montenegro, vol. 13(1), pages 133-165.
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