29

Nov

CBN Has Issued New Guidelines For The Agricultural Credit Guarantee Scheme.

The Central Bank of Nigeria (CBN) has issued new operational guidelines for participants and operating institutions in its Agricultural Credit Guarantee Scheme Fund, which was formed by the federal military government in 1977 and updated on June 13th, 1988 and June 26th, 2019. The Fund’s purpose is to guarantee loans made by lending banks for agricultural purposes under the plan, with the goal of boosting bank credit to the agricultural sector. Under the modified statute, “loan” covers advances, overdrafts, and other credit facility, and should be interpreted as such in these guidelines and subsequent circulars. The guidelines were published on […]

23

Nov

The Central Bank of Nigeria (CBN) And Payment System Operators Are Working To Accelerate The Use Of e-Naira

The Central Bank of Nigeria (CBN), payment service providers (PSPs), and other financial technology (fintech) stakeholders gathered in Lagos Wednesday to discuss ways to promote e-Naira use. At the conclusion of the discussion, the parties agreed to collaborate in order to accelerate the adoption of the central bank’s digital money (CBDC). Many stakeholders believe that the adoption rate is slow. According to data from the apex bank, 17,000 transactions totaling over N62 million had been processed, with the average transaction costing approximately N3, 800. The International Monetary Fund (IMF) noted last week that the CBDC promises to increase remittances to[…]

19

Nov

The IMF Says Nigeria’s CBDC Is Attracting Global Attention, But Warns Of Potential Risks

The International Monetary Fund (IMF) has acknowledged that numerous international institutions, including central banks, are showing interest in the newly released Nigerian central bank digital money (CBDC). However, the CBDC is not recommended for monetary policy execution, cybersecurity, financial stability, or operational resilience. In its most recent country focus report, prepared by economist Jack Ree, the IMF explains why Nigeria’s new CBDC has piqued the interest of the international community, particularly central banks. According to the study, unlike other cryptocurrencies like as bitcoin and ethereum, the e-naira is subject to tight central bank access rights control. The CBDC derives its[…]