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eNaira central bank digital currency (CBDC) for financial inclusion in Nigeria

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  • Ozili, Peterson K

Abstract

There is much interest in central bank digital currency (CBDC) among central banks around the world. African countries have also joined the league of nations that are conducting research into CBDC. The launch of the eNaira CBDC in Nigeria has drawn substantial interest from observers around the world including central banks. The eNaira CBDC is envisaged to bring many benefits, and financial inclusion is considered to be one of such benefits. This paper explores the eNaira CBDC and its potential to increase financial inclusion in Nigeria. I show that the eNaira CBDC can increase financial inclusion by (i) offering an easy account opening process for greater financial inclusion (ii) enabling digital access to diverse financial services in the financial system, (iii) offering low-cost financial products and services, (iv) avoiding unexplained bank charges that causes financial exclusion, (v) attracting people who have lost confidence in banks, (vi) introducing interest-bearing eNaira, and (vii) using offline channels to access the eNaira.

Suggested Citation

  • Ozili, Peterson K, 2023. "eNaira central bank digital currency (CBDC) for financial inclusion in Nigeria," MPRA Paper 115781, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:115781
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    References listed on IDEAS

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    Cited by:

    1. Arno J. van Niekerk, 2024. "Economic Inclusion: Green Finance and the SDGs," Sustainability, MDPI, vol. 16(3), pages 1-21, January.
    2. Fernando TEIXEIRA & Susana Soares Pinheiro Vieira PESCADA & Christos Ap. LADIAS & Murat HULAJ & Filipos RUXHO & Valter MACHADO, 2025. "Stablecoin Dp2p: Innovation And Sustainability In Fiat Currencies," Regional Science Inquiry, Hellenic Association of Regional Scientists, vol. 0(1), pages 95-106, June.
    3. Xin, Baogui & Jiang, Kai & Santibanez Gonzalez, Ernesto D.R., 2024. "The coevolution effect of central bank digital currency and green bonds on the net-zero economy," Energy Economics, Elsevier, vol. 134(C).
    4. Francisco Elieser Giraldo-Gordillo & Ricardo Bustillo-Mesanza, 2025. "The Effects of CBDCs on Mobile Money and Outstanding Loans: Evidence from the eNaira and SandDollar Experiences," FinTech, MDPI, vol. 4(3), pages 1-17, August.
    5. Ozili, Peterson K, 2024. "Thinking Fast and Slow about Central Bank Digital Currencies," MPRA Paper 120774, University Library of Munich, Germany.
    6. Zeng, Wei & Tu, Yongqian & Juan, Xin & Tian, Grace (Li), 2025. "Financial regulation, digital currency, and risk management," Finance Research Letters, Elsevier, vol. 79(C).

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    Keywords

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    JEL classification:

    • E50 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - General
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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