The Bank of Ghana has partnered with Giesecke+Devrient (G+D) to pilot a general purpose Central Bank Digital Currency (CBDC) in Ghana.

The digital currency will be tested in a trial phase with banks, payment service providers, merchants, consumers, and other relevant stakeholders.

The pilot CBDC project is a precursor to the issuance of a digital form of the national currency, the Cedi.

The project is part of the 'Digital Ghana Agenda', which involves the digitisation of the country of 30 million people and its government services.

The digital Cedi, or 'e-Cedi', is intended to complement and serve as a digital alternative to physical cash, thus driving the Ghanaian cashlite agenda through promotion of diverse digital payments, while ensuring a secure and robust payment infrastructure in Ghana.

The central bank said that the CBDC will aim to facilitate payments without a bank account, contract, or smartphone, by so doing “boosting the use of digital services and financial inclusion amongst all demographic groups.”

“CBDC presents a great opportunity to build a robust, inclusive, competitive and sustainable financial sector, led by the Central Bank,” said Dr Ernest K.Y. Addision, governor of the Bank of Ghana. “From all indications, the concept has a significant role to play in the future of financial service delivery globally.”

Addision added: “This project is a significant step towards positioning Ghana to take full advantage of this emerging concept.”

Dr. Wolfram Seidemann, chief executive of the Giesecke+Devrient Currency Technology business, said: "Central banks around the world are exploring the introduction of digital money as legal tender. The Ghanaian government is one of the first African countries now entering a pilot phase. We are proud to support Ghana with our technology and expertise."

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