Nigeria's digital currency in the global context: implications for the domestic socio-economic development

Abstract

Global economic relations have witnessed changes often caused by technological revolution and states have been responding as well, especially to the wave of digital money threatening the relevance of physical cash. The Central Bank of Nigeria (CBN) joined the league by introducing the e-Naira but can the CBN effectively manage the digital currency without allowing it to exert an adverse impact on the national socio-economic terrain in a continuously emerging volatile global business environment? This paper employs the analytical research design. The research findings revealed that e-naira is laden with benefits including engendering private-public sectors cooperation, promoting financial inclusion and aiding the implementation of government social safety net programmes amongst others but not without circumventing the threats of weakening monetary and fiscal policies, global competition and Diem stable coin. The paper recommends proactive measures to be taken by the CBN, amongst others, in tackling these threats to actualise the benefits.