Effect of FinTech on cash holding: Quarterly evidence from Nigeria

The operational activities of FinTech (Financial technology) have restyled the functionalities classical financial system in terms cash holding. purpose this study is to scrutinize FinTech’s effect on holdings Nigeria. Using quarterly data collated from Central Bank Nigeria 2009 Q1-2020 Q4. cointegrating nexus was estimated using autoregressive distributed lag/bounds test model (ARDL) and error correction (ECM) approach. Phillips-Perron unit root adopted determine stationarity properties series their order integration. Empirical results show existence a positive long run between indicators mobile banking (MOB), point sales (POSs), Internet (INB), automated teller machine (ATM), holding within period under consideration. ECM short-run divergent factors economic vagueness, poverty, literacy, among others, structural institutional influencing dogged transactions Nigeria, converge back equilibrium at 90% for ATM, 58% POS, MOB 67%, WEB 64%, respectively. This expands its frontiers accommodate exchange interest rates as vital determinants ARDL result offers varied empirical perspective contrast predominantly employed linear regression. Given statistical limitations associated with findings derived singular model, it imperative regulators possess comprehensive comprehension mechanisms Financial Technology (FinTech). understanding would enable them formulate appropriate policies that foster adoption utilization platforms.