VenturesNow

Like El Salvador, Central African Republic passes law to make Bitcoin legal tender

Published

3 years ago

April 25, 2022

The National Assembly in the Central African Republic has passed a law to accept Bitcoin as legal tender. Thus, going the way of El Salvador who became the first country in the world to accept Bitcoin as legal tender on September 7, 2021.

The country’s minister of finance and budget, Calixte Nganongo, along with Gourna Zacko, minister of the Digital Economy, Postal Services, and Telecommunications, initiated and introduced the legislation establishing the legal framework for cryptocurrency regulation in the Central African Republic, as well as Bitcoin as an official currency.

One of the main knocks against cryptocurrency has always been that it will never gain universal adoption, meaning its usefulness will always be limited.

The law to make the digital currency legal tender in CAR was unanimously supported by the National Assembly to assist the country’s economic recovery and peacebuilding efforts.

The recent move by CAR is against odds, particularly in Africa where some governments have decisively frowned at the use of digital currencies. For instance, in Nigeria, in February last year, the Central Bank of Nigeria (CBN) directed all banks to desist from transacting in and with entities dealing in cryptocurrency. The bank also directed banks to close accounts of persons or entities involved in cryptocurrency transactions within their systems.

Will other African countries follow the path of CAR to adopt cryptocurrencies? Time will tell.

VenturesNow

Moroccan annual inflation rises to 0.8% in November

Published

5 days ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

VenturesNow

Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

6 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”