The scarcity of cash in circulation has made the weekly usage of Automated Teller Machines to drop from 70 per cent to 40 per cent, according to a report by KPMG.
The report, titled, “In Pursuit Value”, stated that the figures were obtained from surveyed customers of Nigerian and Ghanaian banks who narrated their experiences during the year 2023.
According to the survey, ATM usage in Nigeria has witnessed a notable decline due to the regular unavailability of cash in many bank ATM stands.
The multinational consulting firm further stated that medium digital transactions dropped from the top to outside the top 10 in the survey, indicating cash dependence on Point of Sales operators.
It stated, “Currently, four in 10 customers report weekly ATM usage, a notable decline from the previous seven in 10 over the last few years. This decline in ATM usage coincides with a significant rise in agency banking usage, with six in 10 customers frequenting bank agents every week.”
The report further noted that the rise in agency banking emphasises the continued popularity of cash, underscoring customers’ quest for more readily available cash options, primarily driven by the popularity of bank agents across the nation.
Furthermore, the survey disclosed that payment via digital mediums rose by 52 per cent in 2023 between January and October, according to NIBSS data.
