Thursday, September 21

eNaira lags, as China’s digital yuan completes $13.68 billion transactions

The People’s Bank of China’s digital currency has completed cumulative transactions of 87.57 billion yuan ($13.68 billion) since its inception. Although the eNaira is relatively new, its adoption has been less than impressive.

Zou Lan, Director of the PBOC’s financial markets department, disclosed China’s figures on its digital currency to reporters, and a cursory look shows that the digital yuan’s transactions totalled 53.1 billion in the second half of 2021, based on calculations of previously released figures.

On the other hand, Africa’s first digital currency, the eNaira has had a less than remarkable adoption rate with the Central Bank of Nigeria (CBN) recording over 34,000 transactions on the eNaira platform, amounting to over N188 million ($452,124.94) as of mid-December 2021.

CBN Controller, Enugu branch, Ch’Edozie Okonjo, at the 2021 Annual Bankers Dinner and Lecture, organised by the Enugu State branch of the Chartered Institute of Bankers of Nigeria said, “So far, we have recorded over 583,000 consumer wallets and about 83,000 merchant wallets downloads, with downloads occurring in over 160 countries (per Google Play Store and Apple Store data).  We have also recorded over 34,000 transactions amounting to over N188 million. These numbers suggest the adoption rate has been excellent.”

Also, major cities seem to be ignoring the digital currency as a major city as Lagos is missing from the top 25 on the eNaira interest, according to google trends.

What you should know

Google trends indicate that Africa’s first central bank digital currency has its strongest interest in the core northern part of Nigeria, with Borno leading with a perfect score of 100, followed by Sokoto, Gombe, Taraba, and Zamfara.

Over 488,000 people have downloaded the consumer wallet and about 78,000 merchants from more than 160 countries have enrolled according to the CBN.,

According to the PBOC, the number of individual digital yuan users reached is 261 million at the end of 2021, up from 240.13 million at the end of June. The bank began enabling the public to download a test version of the digital yuan app from the Android and Apple app stores earlier this month for customers in ten Chinese cities.

The central bank’s early tests of the digital yuan were only open to lottery-selected individuals before it was made available to the entire public. Residents in selected cities might use digital yuan coupons to buy items at designated stores within a specified time frame after being invited.