Chapter 12: Redesigning the eNaira Central Bank Digital Currency (CBDC) for Payments and Macroeconomic Effectiveness
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Published:2023
Peterson K. Ozili, 2023. "Redesigning the eNaira Central Bank Digital Currency (CBDC) for Payments and Macroeconomic Effectiveness", Smart Analytics, Artificial Intelligence and Sustainable Performance Management in a Global Digitalised Economy, Pallavi Tyagi, Simon Grima, Kiran Sood, B. Balamurugan, Ercan Özen, Thalassinos Eleftherios
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Abstract
Purpose: Central bank digital currency (CBDC) is non-physical or the digital equivalent of physical money issued by a central bank. Nigeria became the first African country to issue a CBDC, popularly known as the eNaira. This chapter highlights the redesign features that eNaira should possess to offer payment solutions and macroeconomic stability effectively.
Methodology: The chapter used discourse analysis to highlight the features the eNaira should possess.
Findings: The chapter suggests that the eNaira should have an interest-bearing status, have enhanced security features, and offer zero transaction costs on eNaira transactions. These are design features which the eNaira presently lacks.
Originality: This chapter is the first to suggest redesign features for an already issued CBDC. It is also the first to highlight the design features of a CBDC in the African continent.
