How the Nigerian Economy can benefit From Digital Currencies

High inflation rates, unemployment and corruption are some of the problems facing Nigeria, a country widely regarded as the Giant of Africa. With a population of over 170 million people, half of which are below 40 years of age, there are real problems for the Nigerian government.

There is also the issue of political instability in this beautiful nation during election periods. Could cryptocurrencies ease Nigeria out of her troubles? Let’s find out what the advent of digital currencies can do for the Nigerian economy.

Financial Inclusion

The world Bank has reported that that there are no fewer than 2 billion unbanked people in the world, and over half of that number is from people living in the developing nations of the world, of which Nigeria is a part. For example, in Sub-Saharan countries, less than 15% of the adult population have access to banking services backed by premium financial institutions, which means the people are either unbanked, or under banked.

For these people it is difficult to carry out transactions with ease beyond the shores of their country. They rely on often overpriced third party agents to move money for them.

Cryptocurrency: A Way Out

With cryptocurrency systems implemented in Nigeria’s financial sector, millions of people will obtain access to much needed location-independent premium banking services, thus creating financial inclusion. When coupled with telecommunications and the power of the internet, this new banking system will penetrate the length and breadth of the country, and empower small and medium scale entrepreneurs with the tools they need to succeed in today’s digital age.

Tackling Corruption

Although the problem of corruption in Nigeria is multi-faceted and dynamic, it is possible to stem the tide with economic freedom of the citizenry. With the decentralized nature of digital currencies, it is now possible for ordinary citizens to take their financial future into their own hands and create sustainable wealth for themselves and others. This wealth redistribution will galvanise growth and development of Nigeria.

How Smart Contracts can help

Successful implementation of smart contracts in the financial structure of the civil service workers’ salary payments, for example will allow for greater transparency and accountability in the remittances from government coffers.

Article Source: https://blog.avesta.io/nigerian-economy-can-benefit-digital-currencies/