FG Mulls Reintroducing Cashless Policy To Tackle Kidnappings

The federal government is considering the reintroduction of the cashless policy as part of renewed efforts to curb rising cases of kidnapping and other related criminal activities across the country.

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

According to top security officials, the renewed push for a cashless framework is designed to make ransom payments more traceable and reduce the ease with which criminal groups operate using cash-based transactions.

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

“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 enhance intelligence gathering and improve the capacity of law enforcement agencies to monitor suspicious financial flows linked to kidnapping networks.

Security expert, Iyke Odife, said kidnapping for ransom has become one of Nigeria’s most pressing security challenges, noting that criminal gangs now target commuters, farmers, students, traditional rulers and rural dwellers.

He argued that Nigeria’s heavy reliance on cash transactions continues 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 strengthen the use of electronic payments and improve the tracking of illicit financial activities.

He, however, noted that the success of any renewed cashless policy would depend on improved digital infrastructure, public trust in financial systems, and strong enforcement mechanisms, especially 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.

Meanwhile, there are indications of renewed optimism over the possible rescue of 39 schoolchildren and seven teachers abducted in Oriire Local Government Area of Oyo State, as security forces intensify operations against their captors.

Security sources said troops, supported by other agencies, have tightened a security cordon around a section of the National Park forest where the abductors are believed to be holding the victims.

The victims were abducted on May 15, 2026, when armed men stormed Baptist Nursery and Primary School in Yawota and two other nearby schools in coordinated attacks.

According to security sources, ongoing operations have restricted the movement of the kidnappers by blocking key escape routes within the forest, significantly limiting their mobility.

“The operation has entered a critical phase. The criminals are under immense pressure and are finding it increasingly difficult to manoeuvre,” a source said.

Intelligence reports further suggested that the kidnappers have become increasingly desperate, with investigators linking the killing of one abducted teacher to attempts to intimidate authorities.

The abductors had initially demanded the release of detained associates and ransom payments, but security pressure is said to have forced them to scale back some of their conditions.

Media reports have linked the attack to elements associated with Jama’atu Ansarul Muslimeena Fi Biladis Sudan (Ansaru), a group with known ties to insurgent activity in northern Nigeria.

Security officials expressed optimism that ongoing operations would lead to the dismantling of the network behind the attacks and the eventual safe rescue of the victims.

“We remain committed to ensuring that criminal groups have no safe haven anywhere in the country,” a senior security official said.