Why Nigeria Needs Digital Currency – CBN

The Central Bank of Nigeria, CBN, has explained the economic implications and importance of a centralised and regulated digital currency in Nigeria.

The apex bank had earlier revealed that it would be launching e-naira, a digital equivalent of the naira in October, in line with global trends.According to Director, Information and Technology, CBN, Rakitya Muhammed, the introduction of the e-naira can catalyse Nigeria’s digital economy, boost cross border trade and enable better macroeconomic policy formulation.

Muhammed spoke virtually at the Third Quarter Industry Forum of the Committee of E-business Industry Heads held in Abuja on Wednesday.She spoke on the theme, “Digital Currency and the Prospects of Central Bank Digital Currency in Nigeria”.

She said, “If people adopt more of the usage of the e-naira, then we will be able to have more data to formulate better macroeconomic policies.

“And when countries come on board and create their own digital currencies then we will be able to have faster exchange of currencies and therefore we might be able to boost cross border trade at a much lower cost.