Ghana’s central bank governor Ernest Edison has said that his institution is now “in the advanced stage of introducing a digital currency.” However, before it comes into circulation, the digital currency – also known as “e-CD” – must first go through “three stages.”
Bank of Ghana embraces emerging fintech companies
. in your comments during News At the conference on 31 May, Edison also reiterated the Bank of Ghana’s (BOG) desire to maintain its reputation as Africa’s leader when it comes to the adoption of emerging financial technologies.
Edison revealed, “The Bank of Ghana was one of the first African Central Banks to announce that we are working on a digital currency given the concept of e-CDs.”
Meanwhile, a local media report good The BOG quotes the chief as explaining the major steps that digital CDs are expected to pass before being released to the public. As Edison notes, digital CDs have already passed the initial phase that includes “the design of electronic money.”
Once this process is completed, the BOG will move to the implementation phase. Edison explained:
After the implementation phase, we have a pilot phase where some people will be able to use Digital Sedi on the mobile application and other applications currently running.
According to the governor, this will be the implementation phase that will help the central bank determine the viability of the project.
B T c vs e-cd
Meanwhile, Edison also used the same news conference to draw comparisons between “unregulated” cryptocurrencies: bitcoin (btc), which is “too unstable to play the role of money” and the state-backed Cedi. Reiterating his support for central bank digital currencies, Edison said:
“I think there is too much emphasis on looking at digital money that is backed by the state, backed by central banks. These private forms of money are not really capable of doing money functions effectively.”
Meanwhile, with this revelation, Ghana became one of the few countries on the African continent to take concrete steps towards this goal. Several other African states still have to make similar progress.
What are your thoughts on BOG’s revelation that it is now in the advanced stages of launching a digital currency? Tell us what you think in the comment section below.
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