ONLINE ZAMBIA After Zambia, Kenya explores possibility of a digital currency 12 months ago Szarlot Post Views: 482 Kenya’s central bank has called on the public to share their views, before May 20th, on the possibility of adopting a digital currency, just one day after it emerged that Zambia is also testing its viability too. Nigeria became the first country in Africa to pilot its central bank digital currency (CBDC), dubbed the eNaira, in October last year while Ghana is said to be at an advanced stage of launching its e-cedi. The Bank of Zambia is also carrying out research on digital currencies. The CBDCs, unlike cryptocurrencies like Bitcoin and Ethereum, are developed by central banks and pegged on countries’ fiat currencies. The Central Bank of Kenya (CBK) has today issued this document as the basis for a public discussion, noting that cost reduction, interoperability and enhanced cross-border payments would be the main drivers for the digital currency’s adoption in the country. The CBK said that mobile money (e-money), which East Africa’s biggest economy pioneered in 2007, has already helped the country to enhance access to financial services — one of the value propositions of digital currencies. “The trend in Kenya’s domestic payments indicates the existence of a digital currency (e-money) that is robust, inclusive and highly active. Therefore, the consideration to introduce a CBDC in the payments system in Kenya would not majorly focus on enhancing access to financial services given the existing and growing penetration of mobile money,” – said the CBK. Kenya’s 38 million mobile money subscribers transacted a total of $55 billion during the first 11 months of last year, according to CBK data. This is a 20% growth from a similar period in the previous year. “Looking to the horizon, it will be critical to connect our payment systems across the region and globally. Existing proposals indicate that CBDC might hold the potential to achieve this interoperability,” said the CBK. The CBK said that a digital currency that is compatible with others could play a role in improving cross-border payments, which are currently slow and expensive. According to the IMF, discussions on how CBDCs could be used for cross-border payments are ongoing but this, too, has potential risks. “Adverse macroeconomic implications, such as increased currency substitution and vulnerability to financial shocks, are possible as retail CBDC becomes available across borders,” – said the IMF in the paper released yesterday. To date, nine countries have launched a digital currency, with Nigeria being the first outside the Caribbean — 14 are in the pilot stage while 87 others are exploring it. Source: sg.news.yahoo.com About Post Author Szarlot I am a fan of casino games especially roulette and blackjack. After that I analyze current events in the gambling industry. See author's posts SzarlotI am a fan of casino games especially roulette and blackjack. After that I analyze current events in the gambling industry. Facebook Twitter LinkedIn Email Print Tags: digital curency, mobile money, Zambia Continue Reading Previous DPO Group Issued License to Provide Payment Service in NigeriaNext Ancient China – Elemental Gems Megaways More Stories NIGERIA ONLINE Does Nigeria really have the biggest gambling industry in Africa? 3 days ago Szarlot NIGERIA ONLINE Safest Betting Apps for Nigerian Players 3 days ago Samuel KENYA ONLINE The Rise of Crypto Casinos in Kenya 4 days ago Samuel ONLINE WORLD NEWS Pragmatic Play broadens Czech presence 5 days ago Iwo Bulski GAMES ONLINE Endorphina releases its new Rabbits, Rabbits, Rabbits slot! 5 days ago Iwo Bulski NIGERIA ONLINE Google suspends 5.6m advertisers in Nigeria 5 days ago Samuel KENYA ONLINE NCC, NLRC collaborate to fight illicit gamers 6 days ago Samuel ONLINE WORLD NEWS Market ratings by online gambling development in 2023 1 week ago Iwo Bulski ONLINE WORLD NEWS TVBET delivers live games to LATAM through partnership with Pixbet 2 weeks ago Iwo Bulski INTERVIEWS ONLINE SPORTINGTECH confirms exponential growth in LatAm and Africa 2 weeks ago Szarlot ONLINE WORLD NEWS Slotegrator is presenting innovationscat ICE London 2023 2 weeks ago Iwo Bulski ONLINE UGANDA iGaming in Africa, a wealth of potential 2 weeks ago Samuel Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ This site uses Akismet to reduce spam. Learn how your comment data is processed.