Reserve Bank of Zimbabwe ‘Developed Roadmap for CBDC Adoption,’ Governor Says – Fintech Bitcoin News

The Governor of the Central Bank of Zimbabwe, John Mangudya, recently said that his organization “has developed a roadmap for the adoption of CBDC [central bank digital currency] in Zimbabwe.” Mangudya also revealed that two fintech startups had been admitted to the central bank’s fintech regulatory sandbox.

Stakeholders’ views are wanted

Almost six months after announcing the Reserve Bank of Zimbabwe’s (RBZ) intention to explore the possibility of launching a central bank digital currency (CBDC), the bank’s governor John Mangudya recently revealed that the central bank now has a roadmap for the envisaged digital currency. He said the bank’s development of the roadmap is in line with the government’s decision on CBDC taken in November 2021.

Still, in his second monetary policy statement of the year, Mangudya hinted that the RBZ is now keen to get views from stakeholders. He said:

The role of stakeholders in the CBDC journey is crucial, and in this regard the bank has developed a public consultation document on CBDC which will soon be published. The consultation document is aimed at promoting a broad and transparent public dialogue about the potential benefits and risks of CBDC.

According to the RBZ, once the document is released, the public will have the opportunity to comment on the consultation document. This must be done within 90 days of the release of the consultation document, Mangudya said.

In addition to the consultation document, the RBZ will also “conduct consumer perception surveys on CBDC.” The findings from the two firms “will enable the bank to participate in pilot programs related to CBDC.”

Admission to the Fintech Regulatory Sandbox

Meanwhile, in the same statement, the RBZ Governor revealed that two fintech firms; namely Llyod Crowd Funding and Uhuru Innovative Solutions had been admitted into the fintech regulatory sandbox. Of these two, Llyod Crowd Funding has already begun its sandbox operations that will last until 2023, while Uhuru Innovative Solutions is expected to begin regulatory testing soon.

According to Mangudya, the admission of the two startups and “the initiation of regulatory testing is a signal of the bank’s commitment to promoting responsible innovation.”
At the same time, the results derived from regulatory testing are expected to provide the RBZ with “critical evidence in the formation of an appropriate financial technology regulatory framework in the country.”

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Terence Zimwara

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