Browsing: The power of the Euro

Africa: A common currency dream verses a Central Bank Digital Currency future. www.theexchange.africa

A common Africa currency and CBDC’s unlikely future

Tech & Business
  • It is not easy to create a common currency since it needs the creation of a central monetary system for several nations
  • The AU and ECOWAS should reconsider their approach—a common physical currency—and move their attention to building a common digital currency, as the EU is doing
  • With the establishment of the Pan-African Payment and Settlement System (PAPSS), which allows for the simple conversion of numerous African currencies, some progress—or maybe too little—has been achieved
  • When turned into digital money, Africa’s weak currencies have little chance against stablecoins backed by the US dollar

It is not easy to create a common currency and it would need the creation of a central monetary system for several nations.

This is a regime that, given the diverse economic demands of countries, may be judged undesirable for some member states. Africa’s desire for economic and monetary integration dates back many years.

African Union

…