African Regional Central Bank President Calls for a Digital Currency – Bitcoin News for Emerging Markets

The President of the Bank of Central African States (BCAS), Herve Ndouba, told the board of the regional central bank that a common digital currency should be created to be used by six countries belonging to the Central African Monetary Union (CAMU). Nduba reportedly wants BCAS to create a common legal framework for regulating cryptocurrencies as well.

Digital currency to update the payment structure

In a move apparently aimed at countering the Central African Republic (CAR)’s recent decision to embrace bitcoin, BCAS President Herve Nduba has reportedly urged the institution’s board of directors to offer a common digital currency to the six member states. The outwardly conceived digital currency will help modernize the payment structure in the region and enhance financial inclusion.

According to Bloomberg ReportNduba’s call came just days after BCAS concluded that the Central African Republic’s law adopting bitcoin “contradicts the agreements and conventions governing the Central African Monetary Union and the statutes of the Bank of Central African States.”

The six member states of CAMU include Cameroon, Chad, Equatorial Guinea, Gabon, the Republic of the Congo and the Central African Republic.

Cryptocurrency regulation

As previously reported by News, the Central African Republic became the first country in Africa and the second in the world to submit legal tender for bitcoin after the legislature voted to approve the proposal. El Salvador was the first to adopt cryptocurrency after lawmakers voted overwhelmingly in favor of a bill legalizing bitcoin.

Similar to its Central American counterpart, CAR’s adoption of bitcoin has been criticized by the regional central bank and the International Monetary Fund (IMF). However, the growing criticism did not prevent the government of President Faustin-Archange Touadera from moving forward with the launch of the CAR crypto token – Sango coin.

In addition to the common digital currency, the BCAS head also wants the regional central bank to create a common legal framework to control the use of cryptocurrencies, according to the report.

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Terence Zimoara

Terence Zimoara is a Zimbabwean award-winning journalist, author and writer. He has written extensively about the economic problems of some African countries as well as how digital currencies can provide Africans with an escape route.

photo credits: Shutterstock, Pixabay, Wikicommons

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