It is no more news that the Central Bank of Nigeria (CBN) has ordered all commercial banks to stop customers from using their Automated Teller Machine (ATM) both debit and credit cards for abroad transactions in a bid to slow and reduce the flow of foreign exchange out of the country.
Though the Central Bank of Nigeria said it is a “temporary measure” that will help to stabilize the Nigeria currency. It means come January 1, 2016 no customers will be able to use their ATM cards to buy products from foreign e-commerce sites, e-learning or transact any business. Frankly speaking it is somehow harsh.
As a result of high rate of unemployment, many Nigerians are now into online business, importation business and other in which they use their local ATM to transact with foreign organizations. With the CBN's directive, it is now obvious that Nigerians will not be able buy on foreign sites like E bay, Amazon, Ali Expree, Alibaba and others. With the CBN directive, many Nigerians who are into foreign business will be affected and indirectly affect their living because online business it is only their source of income.
In addition, some Nigerians do enroll for training, school programmes, courses, programming and other learning programmes by making payment of their tuition fee or learning fee with their Nigeria ATM cards. If this process of paying with their local card is stopped now, what will be the fate of those students?
Moreover, many Nigerians; bloggers and website owners host their site domain names with foreign hosting company like GoDaddy, BlueHost, NameCheap and others. With the directive, many site owners will be faced with problem of renewal since they can't pay any more with their ATM card and might eventually lose their website name.
Although, I am an expert in the field of Economics to see the goodness in stopping bank customers to use their cards to transact online but sincerely speaking it will surely affect many Nigerians negatively. The following are just few of the negative effects of the CBN's directive;
- Unemployment will be increased
- Many students will be forced to terminate their programmes
- Many online shops will be closed down
- Many websites or bloggers will lose their domain names
- Low standard of living
- Crime rate might increase
- Level of poverty might increase etc
Finally, how will you feel when you want to buy goods on Ali Express and wants to payment with your ATM card, but it is invalid card?
Though the Central Bank of Nigeria said it is a “temporary measure” that will help to stabilize the Nigeria currency. It means come January 1, 2016 no customers will be able to use their ATM cards to buy products from foreign e-commerce sites, e-learning or transact any business. Frankly speaking it is somehow harsh.
As a result of high rate of unemployment, many Nigerians are now into online business, importation business and other in which they use their local ATM to transact with foreign organizations. With the CBN's directive, it is now obvious that Nigerians will not be able buy on foreign sites like E bay, Amazon, Ali Expree, Alibaba and others. With the CBN directive, many Nigerians who are into foreign business will be affected and indirectly affect their living because online business it is only their source of income.
In addition, some Nigerians do enroll for training, school programmes, courses, programming and other learning programmes by making payment of their tuition fee or learning fee with their Nigeria ATM cards. If this process of paying with their local card is stopped now, what will be the fate of those students?
Moreover, many Nigerians; bloggers and website owners host their site domain names with foreign hosting company like GoDaddy, BlueHost, NameCheap and others. With the directive, many site owners will be faced with problem of renewal since they can't pay any more with their ATM card and might eventually lose their website name.
Although, I am an expert in the field of Economics to see the goodness in stopping bank customers to use their cards to transact online but sincerely speaking it will surely affect many Nigerians negatively. The following are just few of the negative effects of the CBN's directive;
- Unemployment will be increased
- Many students will be forced to terminate their programmes
- Many online shops will be closed down
- Many websites or bloggers will lose their domain names
- Low standard of living
- Crime rate might increase
- Level of poverty might increase etc
Finally, how will you feel when you want to buy goods on Ali Express and wants to payment with your ATM card, but it is invalid card?
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This is so sad... Government needs to act fast.
ReplyDeleteSincerely speaking you are right. Federal Government and CBN must act quickly
ReplyDelete