North African country, Egypt is making moves with its Central Bank Digital Currency (CBDC) project and is set to launch around 2030, per reports.
According to reports from the Egyptian press, the e-pound, which will basically be the Central Bank of Egypt (CBE) digital currency, is expected to boost the competitiveness of Egypt’s national currency and enhance the efficiency of monetary policy.
Central bank digital currencies (CBDCs) are a form of digital currency issued by a country’s central bank. They are similar to cryptocurrencies, except that their value is fixed by the central bank and equivalent to the country’s fiat currency.
An example of a CBDC is Nigeria’s eNaira which was launched in October 2021. Nigeria’s CBDC to a lackluster growth and unremarkable reception amongst the country’s population.
The Information and Decision Support Center of the Egyptian Council of Ministers reportedly developed a research project titled ‘The Document on the Most Important Strategic Directions of the Egyptian Economy for the New Presidential Period (2024-2030).’
This project outlines the policies for the Egyptian economy until 2030, focusing on economic and social trends. The introduction of the digital pound (E-Pound), which is set for 2030 aims to enhance the competitiveness of the national currency and improve the efficiency of monetary policy.
The move is part of leveraging opportunities presented by digital transformation to advance the Egyptian financial sector and elevate the effectiveness of monetary policy.
As part of its objectives, the Egyptian government aims to increase the number of digital financial wallets to around 80 million by the year 2030. This effort is aligned with the broader goal of fostering digital financial inclusion and expanding the usage of digital financial services in the country.
