The Central African States Bank Board Urges the Implementation of a Uniform Digital Currency
The Central African States Central Bank board has asked the regional financial organisation to create a standardised digital currency.
The board of the Bank of Central African States (Banque des États de l’Afrique) has encouraged the regional financial authority to establish a regionally standard digital currency.
After a meeting in Doula, Cameroon, Bloomberg stated that the board emailed the Bank over this problem. Herve Ndoba, the board chairman, signed the email.
The board urged the Central Bank to establish a digital currency to enhance financial inclusion and improve the region’s payment infrastructure. It also requested the regional Bank provide a regulatory framework for cryptocurrencies.
The Bank of Central African States is opposed to CAR’s adoption of bitcoin
Surprisingly, the advice follows the Central Bank’s strong opposition to the Central African Republic’s (CAR) decision earlier this year to recognise Bitcoin as legal cash.
Thursday, the regional monetary union issued a statement stating that adopting BTC as legal cash in CAR is “incompatible with the agreements and conventions governing the Central African Monetary Union and the Statutes of the Bank of the Central African States.” Despite the complaints of international bodies, CAR is moving forward with its BTC ambitions.
African nations, including Ghana, Nigeria, South Africa, and others, are collaborating on a Central Bank Digital Currency (CBDC) initiative.
In October 2021, the Central Bank of Nigeria launched the eNaira program. Despite the absence of official use statistics, eNaira’s uptake has been poor.
South Africa Reserve Bank is likewise contemplating the creation of a CBDC but has not yet concluded. However, for widespread crypto acceptance to occur in Sub-Saharan Africa, weak internet infrastructure and energy must be addressed.