Bank of Tanzania’s Governor namely Florens Luoga that the bank has taken a decision that involves initiating the project of developing a national CBDC. Evidently, the decision has been made after looking at another African country, Nigeria, which is currently testing e-Naira i.e. Nigerian national CBDC. He also suggested that the project has been taken up by the Bank of Tanzania because the bank wants Tanzania to move alongside other states of the world towards the digitalization of national currencies.
Another Central Bank Digital Currency (CBDC) project has been announced to be undertaken. This time the owner of the project is the Bank of Tanzania acting at the behest of the Tanzanian Government. As per the bank’s press statement, the project of CBDC has already begun and manpower has been deputed as well.
Florens Luoga is the Governor of the Bank of Tanzania who said that the decision to undertake the CBDC project was a unanimous decision. Officials from the Government as well as from other regulators and the Bank of Tanzania had all supported initiation of the project. Luoga said that he fully supports the CBDC project because it is the need of the hour. He was of the view that many countries in the world have already completed their CBDCs projects. While many CBDCs are works in progress and a few are undergoing testing as well. However, in Tanzania, nobody was seriously considering the possibility of CBDC. But as of today, better sense has prevailed while the Bank of Tanzania too has acknowledged the necessity of having a national CBDC.
Luoga further said that they had already wasted precious time. He further stressed that Tanzania would need to adopt new technologies and global trends. The country cannot afford to lag behind every nation on earth. Instead, encouragement is essential for ensuring that Tanzania goes into the future alongside the entire world.
The decision of the Bank of Tanzania has come when Nigeria, another African country, had announced pilot testing of Nigerian CBDC. Even the Bank of Tanzania acknowledged the fact that Nigeria is now the first country in the African region to have completed Africa’s first CBDC project. The bank further appreciated Nigeria’s role in building the confidence of African nations with regard to cryptocurrencies.