FG Mulls Reintroducing Cashless Policy to Curb Kidnapping

The Federal Government, under President Bola Ahmed Tinubu, is weighing plans to bring back a tougher cashless policy as part of fresh measures aimed at tackling kidnapping and other violent crimes nationwide.

Leadership reports that security sources said the proposal is being reviewed alongside intensified military and intelligence operations aimed at dismantling kidnapping syndicates and cutting off their financial lifelines.

Top security officials disclosed that the renewed cashless framework is intended to make ransom payments more traceable and reduce the ease with which criminal groups move money through cash-based transactions.

One of the sources said kidnappers deliberately demand cash payments to avoid detection by security and financial intelligence agencies.

“Criminals prefer to receive ransom payments in cash because the money cannot be traced. Once ransom is paid through the banking system, it becomes easier to track them,” the source said.

The official added that a stricter cashless regime would improve intelligence gathering and strengthen the capacity of law enforcement agencies to monitor suspicious financial flows linked to kidnapping networks.

Security expert, Iyke Odife, said kidnapping for ransom had become one of Nigeria’s most pressing security challenges, with criminal gangs targeting commuters, farmers, students, traditional rulers, and rural residents.

He said Nigeria’s heavy reliance on cash transactions had continued to provide an easy channel for criminals to collect and move ransom payments without leaving digital traces.

Another security analyst, Mohammed Sani, described the proposal as a positive step, saying it could encourage electronic payments and improve the tracking of illicit funds.

He, however, warned that the success of the policy would depend on improved digital infrastructure, public trust in financial systems, and strong enforcement, particularly in rural communities.

A financial expert, Chukwudi Ayogu, also cautioned that implementation would require robust banking infrastructure and expanded financial inclusion to avoid excluding rural populations with limited access to banking services.