Central Bank Digital Currency and Other Digital Payments in Sub-Saharan Africa: A Regional Survey
Fintech Notes, March 27, 2024
Source details
- Canonical URL
- Central Bank Digital Currency and Other Digital Payments in Sub-Saharan Africa: A Regional Survey
Other formats
Bibliographic details
- Authors: Luca A Ricci, Calixte Ahokpossi, Anna Belianska, Khushboo Khandelwal, Sunwoo Lee, Grace B Li, Yibin Mu, Saad N Quayyum, Silvia G Nunez, Jack J Ree, Marcos Rietti Souto, Felix F. Simione
- Published: March 27, 2024
- Series: Fintech Notes
- DOI: https://doi.org/10.5089/9798400273025.063
Key findings from the survey
- Reports key findings from the Sub-Saharan Africa Central Bank Digital Currency (CBDC) and Digital Payments Survey.
- Sheds light on the motivations, benefits, and challenges of CBDC adoption.
- Highlights the developments of digital private money and crypto assets in sub-Saharan Africa.
- Emphasizes the pivotal role of collaboration and shared knowledge in navigating the landscape of digital currencies and assets in sub-Saharan Africa.
- Indicates that the experiences and aspirations of the region’s central banks, as expressed in the survey, will help harness the potential for digital currencies, assets, and payments, and foster cooperation among countries in sub-Saharan Africa.
Developments in digital private money and crypto assets
- Documents ongoing developments of digital private money (including e-Money and mobile money) across the region.
- Notes active emergence and evolution of crypto assets within sub-Saharan Africa’s payments and financial ecosystem.
- Positions these private digital payment developments alongside central bank considerations of CBDCs.
Challenges and risks identified
- Identifies challenges to CBDC adoption that central banks in the region face (motivations, benefits, and challenges are central themes of the survey).
- Flags the need to assess benefits, costs, and risks of digital payment systems to safeguard macroeconomic and financial stability.
Role of collaboration and shared knowledge
- Finds collaboration and shared knowledge to be pivotal for navigating the intricate digital-currency landscape.
- Suggests that regional cooperation can help harness potential benefits and manage cross-border and systemic implications.
Policy implications and forthcoming analysis
- Announces a forthcoming IMF Departmental Paper that will:
- Focus on key issues for countries in sub-Saharan Africa pertaining to CBDCs, private digital payments, and crypto assets.
- Provide a deeper discussion of the benefits, costs, and risks of these digital payment systems.
- Present policy options to enhance financial digital development and inclusion, while safeguarding macroeconomic and financial stability.
Source: Fintech Note “Central Bank Digital Currency and Other Digital Payments in Sub-Saharan Africa: A Regional Survey” (March 27, 2024).
Content in this bundle
- Central Bank Digital Currency and Other Digital Payments in Sub-Saharan Africa: A Regional Survey