by According to the Deputy Governor of the Central Bank of Rwanda, the Central Bank is unsure when a digital currency will be issued. First, it will have to complete research in December to examine the good and bad sides of issuing a digital currency. Until the research is conducted, a date can not be fixed for the release of the e-currency.
The Phase Of Investigation
The deputy governor of the Central Bank of Rwanda, Soraya Hakuziyaremye, has stated that Rwanda is expected to conclude the Bank’s inquiry into central Bank digital currency (CBDC) before the end of 2022.
Hakuziyaremye indicated in her comments posted in The New Times Newspaper that the conclusion to issue an electronic currency or not would be based on the study’s findings now being conducted by the National Bank of Rwanda (NBR).
“We are currently in the research stage analyzing the benefits of digital currency to Rwandans as well as the risks not just to the country’s economy, but to the industry. This will depend on the sort of electronic currency that will be issued,” Hakuziyaremye added.
According to the News website, Bitcoin.com, the country’s Central Bank began a research project in June 2021 to examine the potential effects of a CBDC on financial and monetary stability. The investigation will also look at “the model of operation.”
The country’s national Bank became among the few African central banks to declare its desire to adopt electronic currency by starting a research project. Currently, only Nigeria’s Central Bank has implemented its digital banking system.
CBDCs Should Be Accessible To The Entire Population
Furthermore, the deputy governor noted that if Rwanda moves through with creating an electronic currency, it must be accessible to a large number of persons. No person or organization should be excluded. She elaborated:
“What is vital is to consider a system that will allow for financial inclusion. The population because if you issue a digital currency, you should not be excluding your population; it must go with reducing the digital gap and ensuring that people have the choice to use it.”
The chairman of Rwanda Fintech Network, Olivier Mugabonake, also outlined the potential prospects that CBDC might offer to the nation’s economy. “Practically, there are certain firms that are ready to begin utilizing the technology. It is also important to assess the benefits and possible problems,” he stated. The aim is to increase the adoption of the currency in the country.
Several African countries such as Kenya, Morocco, Tunisia are still making plans to launch their digital currency. Nigeria has implemented its electronic currency, but the adoption is relatively low.
