The Federal government is reportedly considering a tighter cashless transaction regime as part of a broader strategy to tackle the growing threat of kidnapping and violent criminal activities across Nigeria.
Sources within the security sector revealed that discussions are underway on measures that would further limit large cash transactions, making it more difficult for kidnappers and other criminal groups to collect and move ransom payments without detection.
According to officials familiar with the proposal, the initiative forms part of an expanded security response that combines military operations, intelligence gathering and financial surveillance aimed at weakening criminal enterprises.
Authorities believe that the widespread use of cash has continued to provide kidnappers with a convenient way to receive ransom payments while avoiding scrutiny from law enforcement and financial monitoring agencies.
One security source explained that digital transactions leave a trail that can assist investigators in identifying suspects, tracking networks and uncovering links between criminal groups and their financiers.
The source noted that strengthening electronic payment systems could significantly improve the ability of security agencies to monitor suspicious financial activities and disrupt the operations of kidnapping syndicates.
Experts have welcomed the proposal, arguing that reducing dependence on cash could make it more difficult for criminal organisations to operate undetected.
Security analyst, Iyke Odife, described kidnapping for ransom as one of the country’s most serious security concerns, affecting communities, schools, farmers, travelers and traditional institutions. He argued that criminals have continued to exploit Nigeria’s cash-driven economy to collect and transfer illicit funds with little risk of being traced.
Another analyst, Mohammed Sani, said stricter enforcement of cashless transactions could enhance financial transparency and aid investigations into criminal financing. However, he stressed that authorities must address concerns surrounding digital access and public confidence in electronic payment platforms.
Financial expert, Chukwudi Ayogu, also urged caution, warning that any policy shift must be accompanied by improved banking infrastructure and wider financial inclusion, particularly in rural areas where access to digital financial services remains limited.
Meanwhile, security agencies have reportedly recorded fresh progress in efforts to rescue dozens of schoolchildren and teachers abducted in Oyo State.
Intelligence sources disclosed that troops and other security operatives have tightened surveillance around sections of the National Park forest where the victims are believed to be held.
The victims, comprising 39 pupils and seven teachers, were kidnapped on May 15 after gunmen attacked Baptist Nursery and Primary School in Yawota as well as two neighbouring schools in Oriire Local Government Area.
Officials involved in the operation said key routes leading out of the forest have been placed under close watch, restricting the movement of the kidnappers and increasing pressure on the group.
According to a source, ongoing operations have significantly narrowed the options available to the abductors, creating conditions that could improve the chances of a successful rescue mission.
Investigators are also examining reports that one of the kidnapped teachers was killed by the captors, allegedly as a means of exerting pressure on authorities.
The abductors had initially presented a series of demands, including ransom payments and the release of detained associates. However, security sources believe sustained operational pressure has weakened their position.
Authorities are also probing possible links between the attack and members of the extremist group Ansaru, which has previously been associated with similar incidents.
Security officials maintained that efforts remain focused on dismantling the criminal network responsible for the abductions while ensuring the safe return of those still in captivity.
They reiterated the government’s commitment to denying criminal groups safe operating spaces and strengthening security operations across affected regions.
*Media Report