Nigeria has been recognized as one of the top three countries globally where Central Bank Digital Currency has gained significant traction.
According to a report released by the U.S.-based Atlantic Council on Tuesday, as of September 2024, Nigeria, along with the Bahamas and Jamaica, is among the few countries that have fully launched a CBDC.
Meanwhile, 44 other countries are currently in the pilot phase of their CBDC initiatives.
“In Nigeria and the Bahamas, CBDC issuance has increased substantially,” the report noted.
Recall that the Central Bank of Nigeria launched its Central Bank Digital Currency eNaira, in October 2021.
With the launch of eNaira in October 2021, Nigeria became the first African country to introduce a Central Bank Digital Currency and the second globally, following the Bahamas’ introduction of the “Sand Dollar” in October 2020.
The report indicated that 134 countries and currency unions, accounting for 98% of global GDP, are currently exploring Central Bank Digital Currencies.
“In May 2020 that number was only 35. Currently, 66 countries are in the advanced phase of exploration—development, pilot, or launch,” the report stated.
“There is a new high of 44 ongoing CBDC pilots, including the digital euro. European countries, both in the euro area and beyond, are increasingly testing wholesale CBDCs, both domestically and across borders,” it added.
The Atlantic Council also noted that all original BRICS member states—Brazil, Russia, India, China, and South Africa—are currently piloting a Central Bank Digital Currency.
Since last year, BRICS has been actively advancing the development of an alternative payment system to the dollar.
