Our e-Naira is safer than Bitcoin, others – CBN tells Nigerians

TECHNOCRAT MEDIA NIGERIA

LAGOS – The Central Bank of Nigeria (CBN) says the stability of the banking system is an advantage of adopting Nigeria’s digital currency, e-Naira which is to be launched soon.  

CBN deputy governor in charge of operations, Folashodun Shonubi, made the comment at a seminar hosted by the Chartered Institute of Bankers of Nigeria in Lagos, themed ‘Central Bank Digital Currencies: Insights for the 21st Century Banker.’

“The Central Bank in its implementation has ensured the e-Naira feeds our economy and provides greater value,” Shonubi said.

“The Central Bank Digital Currency (CBDC) will also make it easier for the banking system to comply with existing laws such as anti-money laundering, customer protection against fraud and ensuring the safety and stability of the payment system.”

Shonubi explained that the e-naira would prove safer than “privately issued cryptocurrency”, and added that the launch of digital currency would be to complement existing payment pathways, thereby ensuring a stable system. 

“For banks in developing nations, it will enhance their liquidity, efficiency in national remittances, and challenge the high cost of remittances as the world rebounds in the post-pandemic. I am of the view that the era of CBDC promotes greater opportunities, and the central bank must be aware of the risks and mitigate them,” Shonubi said.

The CBN had in August announced the launch of its digital currency (e-Naira) pilot program in October. He also spoke on the importance of eNaira in Africa’s largest economy that included cross-border trade facilitation, financial inclusion, monetary policy effectiveness, improved payment efficiency, revenue tax collection, remittance improvement, and targeted social interventions.

According to Peoples Gazette in August, reported that the apex bank had chosen Barbados-based financial tech company Bitt Inc. as the technical partner for the eNaira project. Nigeria’s adoption of digital currency and trade follows a trend of central banks worldwide deliberating on whether to adopt digital currencies in their countries. 

This news content remains the copyright of TECHNOCRAT MEDIA, to republish, please seek the consent of our News Editor via editor@technocratmediang.com