Today, Senegal’s Central Bank issued a statement outlining its stance on digital currencies, with a focus on cautious exploration. This announcement, made in Dakar, comes amid rising interest in digital currencies and follows similar moves by other African countries, including Nigeria and Ghana, as well as global entities examining the utility of Central Bank Digital Currencies (CBDCs).

Senegal’s Central Bank emphasized that it is researching the potential benefits and challenges of a CBDC, aiming to evaluate how it could impact the financial system, currency stability, and overall economic framework. The statement highlighted a careful, measured approach, noting that Senegal’s financial authorities remain open to the concept but stress the importance of ensuring robust regulatory standards and financial security measures.

This exploration of a CBDC aligns with Africa’s growing interest in digital currencies, driven largely by inflation concerns and the need to enhance cross-border transactions. Several African countries, including Ghana and Nigeria, have already piloted or launched their own CBDCs to provide a secure and accessible alternative to traditional financial services​