• Wednesday, April 24, 2024
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‘Why SMEs must adopt contactless payment in Nigeria’

‘Why SMEs must adopt contactless payment in Nigeria’

Andrew Uaboi, Vice President and Head of Visa West Africa, has said the introduction of contactless payment in Nigeria will support the Central Bank of Nigeria’s (CBN) cashless policy and reduce the reliance on cash transactions among small and medium-sized enterprises (SMEs).

According to him, small and medium-sized enterprises (SMEs) dominate the Nigerian business space, and digital payments can transform their operations.

Uaboi said in a statement, “Contactless payment technology is a fast, convenient way to make everyday purchases, especially at supermarkets, fast-food restaurants, gas stations, and public transportation, helping consumers transform their lifestyle by streamlining their payment experience—all in just a few seconds for each transaction.”

Commenting on the benefits of contactless payment to store owners, Uaboi noted that it could ensure quick, streamlined payments at the register and increase operational efficiency by reducing cash usage.

He explained that contactless payments will allow businesses to build new experiences to replace cash usage.

“Not only does it help penetrate small-ticket transactions and participate in new acceptance categories, but it also accelerates digital migration by driving preference for the banks’ products and developing new payment uses by combining tokens, biometrics, and other available platforms to improve the user experience,” he added.

According to reports, Africa’s digital payments landscape has experienced significant growth over the last decade, and South Africa leads the continent in the adoption of contactless payments, with more than 50 percent of all digital transactions being contactless.