When the Central Bank of Nigeria launched the eNaira in October 2021, Nigeria made history as the first African country to introduce a Central Bank Digital Currency (CBDC). At the time, the project was presented as a bold financial revolution that would modernise payments, deepen financial inclusion, reduce cash handling, and place Nigeria ahead in the global digital economy race.
Nearly five years later, however, many Nigerians are asking a simple question: where exactly is our eNaira?
The digital currency still exists. The app is still available. The CBN still speaks about its possibilities. Yet, for millions of Nigerians, the eNaira feels invisible, distant, and largely unused in daily life.
The eNaira was officially launched on October 25, 2021, under former President Muhammadu Buhari and the then CBN Governor Godwin Emefiele. It came with the slogan: “Same Naira, More Possibilities.”
The idea behind it was simple. Instead of carrying physical cash, Nigerians could hold digital naira directly issued and backed by the Central Bank. But unlike Bitcoin and other cryptocurrencies, the eNaira was not decentralised. It remained under government control.
At the time of its launch, Nigeria was already one of the world’s leading countries in cryptocurrency adoption. Many young Nigerians were turning to crypto because of inflation, currency instability, remittance problems, and limitations in the banking system.
The government wanted a regulated digital alternative that could offer the benefits of electronic payments without losing monetary control.
The CBN said the eNaira would solve several major problems:
First was financial inclusion. Millions of Nigerians, especially in rural areas, remained outside the formal banking system. The eNaira was expected to help them participate in the digital economy using mobile phones and USSD technology.
Second was the cashless policy. Nigeria spends billions printing, transporting, securing, and replacing damaged notes every year. The eNaira was expected to reduce dependence on physical cash.
Third was faster and cheaper transactions. Officials argued that the eNaira would lower transaction costs and reduce dependence on payment intermediaries.
Fourth was remittances. Nigeria receives billions of dollars yearly from citizens abroad. The eNaira was expected to simplify and reduce the cost of diaspora transfers.
Fifth was transparency. Since digital payments leave trails, authorities believed the system could help reduce corruption, money laundering, and illicit financial flows.
In theory, the project looked ambitious and futuristic. At launch, government officials described the eNaira as a game changer. The CBN announced millions of naira had already been minted digitally. Commercial banks were directed to support the system. Merchants were encouraged to register.
Nigeria also received global attention because many countries, including China, Britain, and the United States, were still studying CBDCs while Nigeria had moved ahead with implementation.
Stakeholders believed the country could become a global reference point for digital currency innovation.
Unfortunately, the good initiative has failed to meet expectations.
The eNaira has struggled badly with adoption.
According to reports quoting the International Monetary Fund, less than 0.5 per cent of Nigerians used the eNaira within its first year. Even though about 13 million wallets were later created, most reportedly remained inactive.
Transaction levels also remained very low compared to Nigeria’s broader electronic payment ecosystem.
By 2024, total eNaira transactions since launch stood around N29.3 billion with fewer than one million completed transactions. In comparison, Nigeria’s electronic payment system processed hundreds of trillions of naira yearly.
For a country with over 200 million people and one of Africa’s largest fintech markets, those figures were disappointing.
Critics have described the eNaira as a “white elephant project” that consumed public resources without meaningful impact.
Some argued it was introduced mainly to compete with cryptocurrencies after the government restricted banks from facilitating crypto transactions.
Others believed the project tried to imitate blockchain innovation without embracing decentralisation, which is the major attraction of cryptocurrencies.
Investigations also revealed fears about privacy, state control, and the possibility of account restrictions.
To many Nigerians, the project looked like technology searching for a problem rather than solving one.
Despite the criticisms, the CBN continues to defend the eNaira.
Officials insist that adoption challenges are normal for a pioneering technology. They argue that many innovations require years before mass acceptance.
The apex bank says the eNaira still offers important long-term benefits, including: lower transaction costs,
financial inclusion, faster settlements,
better payment efficiency,
reduced cash management expenses,
and stronger digital financial systems.
The CBN has also argued that the project can support future innovations such as smart contracts, digital trade settlements, and government welfare distribution.
The eNaira entered a market already dominated by highly efficient fintech platforms and mobile banking apps.
Apps like Opay, PalmPay, Paga, Moniepoint, and traditional bank transfers already allowed Nigerians to move money quickly.
But, what exactly can the eNaira do differently? What nich should it carve and serve for it to remain competitive in the digital marketplace? The answer is not far-fetched.
Reports suggest the CBN is reviewing strategies to revive adoption through awareness campaigns, integration with payment systems, and broader digital finance initiatives.
There are also growing discussions globally around stablecoins and other digital assets, which may force Nigeria to rethink how the eNaira should evolve.
Globally, many countries are still experimenting with CBDCs. China continues to expand its digital yuan project, while Europe and America remain cautious.
Nigeria still has an opportunity to reposition the eNaira if authorities can rebuild trust and create real-life usefulness.
We, at DAILY NEWSCRAFT welcome the review and adoption of the eNaira project given its huge socio-economic benefits and global digital market edge.
However, the necessary missing dots must be connected to ensure seamless transactions and avoid running-on-the-spot.
Some of the dots include: fixing digital infrastructure. Internet access, electricity supply, smartphone penetration, and network reliability continue to create obstacles, especially in rural areas. A digital currency cannot thrive smoothly where digital infrastructure itself remains unstable.
The CBN indeed, federal government should work on inflation, currency depreciation, economic uncertainty, and unemployment. Many Nigerians are more concerned about preserving value than experimenting with a new payment system.
Nigerians want to see practical reasons to adopt eNaira.Technology alone cannot change financial behaviour. People adopt systems that solve everyday problems faster, cheaper, and more conveniently.