The much awaited Nigeria’s central bank digital currency (CBDC), the eNaira, on Monday formally becomes a legal tender of transaction following its formal launch by President Muhammadu Buhari at the State House in Abuja.
In his opening remarks at the event, the President commended the apex bank’s board and management for their efforts towards ensuring a more efficient payment system in the country through the digital currency.
He enthused: “We have become the first country in Africa and one of the first in the world to introduce a digital currency to our citizens.”
Speaking during the launch, the governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, said 500 million eNaira ($1.21 million) had already been minted for financial transactions.
Emefiele also announced a new financial instrument titled ‘The 100 for 100 PPP – Policy on Production and Productivity’ as part of the apex bank’s policy initiatives to reduce the nation’s overdependence on imports.
According to him, the instrument “will be anchored in our Development Finance Department under my direct supervision.
“Under this policy the CBN will advertise, screen, scrutinize and financially support 100 targeted private sector companies in 100 days, beginning from 01 November 2021, and rolling over every 100 days with new set of 100 companies, whose names will be published in National Dailies for Nigerians to verify and confirm.
“The purpose of this instrument is to take further steps to reverse our over reliance on imports”, the CBN governor added.
The CBDC’s digital currency apps, eNaira speed wallet and eNaira merchant wallet, are now available on Google Playstore and Apple Store for download.
Meanwhile a Notice on the apex bank’s website website gives details about how the digital currency and the wallet will work.
The notice stated: “Get Ready With Your Accurate BVN Data For Your Hitch-Free Enrolment.
“To sign-up on the eNaira speed wallet, you would be required to input the following details exactly as captured during your BVN enrollment.
“First Name, Last Name, Date of Birth, State of Origin, and Email.
“Your Banks are waiting to assist you in validating and updating your BVN details to ensure seamless enrolment to the eNaira Platform,” it added.
In addition, the CBN also published the regulatory guidelines of the currency on its website.
Specifically, the guideline seeks “to provide simplicity in the operation of eNaira, encourage general acceptability and use, promote low cost of transactions, drive financial inclusion while minimizing inherent risks of disintermediation of any negative impact on the financial system.”
The Atlantic Council’s CBDC tracker stated that with the launch of the digital currency, Nigeria had become one of the five countries globally to have an official digital currency while 14 others are at the pilot stages of launching their digital currencies.
It would be recalled that the CBN had engaged a Barbados-based digital financial technology firm, Bitt Inc, as its technical partner in the e-Naira project.
The formal launch of the eNaira was earlier scheduled to coincide with Nigeria’s October 1, 2021 Independence Day Anniversary but postponed by the apex bank.
