June 18, 2024

Ghana will digitize the national currency

Ghana will digitize the national currency

Ghana Bank Governor Ernest Addison said the republic is exploring the prospects of issuing a digital counterpart to the national currency.

According to the economist, the Central Bank is collaborating with key stakeholders to develop a CBDC pilot project.Initially, the system will be launched in a sandbox, and after testing, the possibility of emitting an electronic cedi will be considered.

The digital currency will be issued by the Commercial Bank of Ghana, the country's largest private bank.It will not only have to create electronic money, but also provide itthe equivalent amount of cash so that customers can get free access to mobile wallets.

Speaking at the National Banking Conference,Ernest Addison did not go into technical details, so it is not known for sure whether blockchain technology will be applied. However, he said that the pilot project will be implemented as part of a national program to digitize the financial sector.

In conclusion, he added that the initiative aims to increase the stability of banking.

Ghana is not the first African country to plan to issue its own digital currency. The Central Bank of Rwanda also announced similar plans in August.