Data from Ghana’s CBDC eCedi can help people get loans, says Bank of Ghana – BitcoinKE

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The Bank of Ghana has rolled out offline testing of its upcoming CBDC in markets and towns across the country where it has gained several key insights on how eCedi can benefit local people.

The tests took place in a town called Sefwi Asafo, where participants were able to buy goods and services from merchants in all sorts of places without any internet connection.

According to Kwame Oppong, Director of Financial Technology and Innovation at the Bank of Ghana, one of the ideas that the Bank of Ghana has chosen is that eCedi will lead to user-generated data that can help provide loans to ordinary people.

According to Oppong, who leads the eCedi project, if people make their activity data available, they can become more eligible for loans.

Oppong was speaking on the sidelines of the West Africa Money and Decentralized Finance (Defi) summit where 50 multinational fintech companies and 400 delegates from various fintech companies converged in Accra, Ghana.

The CBDC would also introduce instant settlement of transactions, which would result in cost savings compared to the current settlement infrastructure. The official, however, reiterated that most countries are still learning and testing CBDCs, adding that “we need to figure out if it is useful to us or not.”

Regarding other digital currencies, the official noted that one of the most attractive qualities of cryptocurrencies is its user experience, which is why many countries are looking into blockchain technology and its potential use cases.

Oppong also indicated that stablecoins can play an important role in enabling cross-border transactions. At the moment, Ghana is not planning to regulate cryptocurrencies, Oppong said.

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