Zimbabwean university unveils its CBDC design 1

Zimbabwean tertiary institution, the Harare Institute of Technology, has announced that its Central Bank Digital Currency is currently in the works. The news was made available to the public today by the Vice Chancellor of the university, Quinton Kanhukamwe. In the statement by the Vice Chancellor, the CBDC is projected to help the country battle vices related to the market. Some of these vices include the manipulation of the country’s currency, hoarding cash, and a long list of other illegal activities.

The Zimbabwean institution wants to tackle illegal activities

The Vice-Chancellor broke the news to the public at the graduation ceremony held by the university. In attendance was the president of the country, Emmerson Mnangagwa. At the ceremony, the Zimbabwean institute head mentioned that the CBDC could be the key that would eventually help them incorporate the unbanked into the system.

CBDCs have been touted as the next generation of currencies worldwide. The vice chancellor mentioned that most people not using the formal banking sector feel it is there to take from all their hard-earned sweat. However, he mentioned that the CBDC in the works by the Zimbabwean institution would ensure that all costs are significantly reduced while enabling minor payments for transactions.

RBZ plans to consult the public on its CBDC

The Zimbabwean institution’s VC also clarified that once the development and the eventual rollout of the CBDC are in place, it will enable businesses to bring in more people. He also highlighted that using CBDCs will ensure that all printing costs are significantly reduced. A previous statement by the central bank of the country pointed out that a roadmap is presently in place to ensure that the rollout of the CBDC is seamless. However, the bank has mentioned that it is working on a public paper seeking the public’s opinion on the CBDC.

It also highlights that the paper will state clearly the risks and benefits of holding and using the potential CBDC. Also, the bank has refused to note a start date for the roadmap or when the CBDC would be eventually available to the general public. The bank also did not clarify if it was employing other entities to assist in creating the digital currency. However, the report hints towards the possibility that the tertiary institution may have been charged with helping the country design and roll out the CBDC.