CBN Names Technical Partner For Digital Currency Project
The Central Bank of Nigeria (CBN), on Monday, said it has formally engaged the global Fintech company, Bitt Incorporated, as the Technical Partner for eNaira, its digital currency due for unveiled later in the year.
CBN Governor, Godwin Emefiele, while announcing this in Abuja, listed the benefits of the Central Bank Digital Currency (CBDC) to include increased cross-border trade accelerated financial inclusion, cheaper and faster remittance inflows.
A statement by Osita Nwanisobi, its Director, Corporate Communications, listed others to include easier targeted social interventions, as well as improvements in monetary policy effectiveness, payment systems efficiency, and tax collection.
The selection of Bitt Inc, from among highly competitive bidders, the apex bank explained, “was hinged on the company’s technological competence, efficiency, platform security, interoperability, and implementation experience.”
In choosing Bitt Inc, the CBN said it “will rely on the company’s tested and proven digital currency experience, which is already in circulation in several Eastern Caribbean countries.”
Bitt Inc., it continued, “was key to the development and successful launch of the central bank digital currency (CBDC) pilot of the Eastern Caribbean Central Bank (ECCB) in April 2021.”
Project Giant, as the Nigerian CBDC pilot is known, Nwanisobi continued, has been a long and thorough process for the CBN, with the bank’s decision to digitize the Naira in 2017, following extensive research and explorations.
“Given the significant explosion in the use of digital payments and the rise in the digital economy, the CBN’s decision follows an unmistakable global trend in which over 85% of Central Banks are now considering adopting digital currencies in their countries,” he added.