East African Country in Fully-Fued Research for CBDC

The Bank of Tanzania awaits the completion of research into the technology before a decision is made on CBDC adoption.

Countries continue to work on the central bank digital currency (CBDC) at full speed. Countries that want to take part in the new technology have paid attention to the digitalization process of their currencies. Many countries made their first test payments and business transactions with CBDC. Tanzania, on the other hand, has put together a team to explore the risks and benefits of CBDCs. This research will be instrumental in CBDC decisions in the country.

Tanzania, an East African country, is among the countries that have taken steps in digital transformation and blockchain. The Bank of Tanzania has stated that it wants to launch a central bank digital currency (CBDC). However, the Bank of Tanzania wants to make this move after completing various researches.

The Bank of Tanzania began researching the different types of CBDCs, their issuance and management structures, and the main structure of the CBDC. Within the scope of this research, CBDC is envisaged to be token or account-based. Making a statement on the subject, the Bank of Tanzania stated:

“At this point, the outcome of the research revealed that more than 100 countries around the world are at different stages of the CBDC adoption journey, of which 88 are in the research phase, 20 are in the proof-of-concept, 13 are in the pilot and 3 are in the launch phase.”