Prospects and Issues Concerning the Regulatory Regime of E-Payment System in Nigeria

Objective: to reveal the legal challenges impeding the smooth operation of electronic payment systems in Nigeria, given that Nigerian official bodies and individuals have already taken some steps to regulate the electronic payment system in the country, but the said step are insufficient. Methods: the study is built on several approaches to the issues of the legal regime of electronic payments in Nigeria. Alongside with the doctrinal interpretation of the legal framework regulating the relations associated with the use of electronic payment system, the authors used sociological cognitive tools and conducted a survey of respondents residing in different geopolitical zones of Nigeria. The description and analysis of the data obtained shows the actual attitude of the respondents to the ongoing processes. Results: international regulation and national legislation on electronic payments in force in Nigeria were examined. The study revealed that e-payments are an effective means of transactions but there are some legal challenges that may hinder the smooth use of e-payments in Nigeria. It was found that although the country has enacted a number of laws relating to the regulation of banking and other financial activities, they are not sufficient to address the challenges posed by modern technologies. The article reflects the issues of electronic signature, trust in technology, data privacy, security of electronic transactions, fraud, authentication and authorization, certainty of rights and obligations, jurisdiction and platforms for resolving online disputes, taxation of electronic payments, and others. The authors note that the task of creating a secure digital environment for the smooth operation of e-commerce and e-payments in Nigeria should not be solely imposed on the government. Scientific novelty : by the example of one of the most promising African states, the authors revealed a spectrum of issues related to the work of electronic payment systems, supporting it with a survey of public opinion. They managed to find out the citizens’ attitude to a number of issues that are most often faced when using the system of electronic payments, and possible areas of change. Practical significance : the current legal issues raised in the study largely hinder the smooth use of the electronic payment system in Nigeria. Hence, the possible ways to improve it suggested by the authors are increasingly significant.