Zimbabwean institution, Harare Institute of Technology, has announced that its Central Bank Digital Currency is currently in the works. The news was released to the public today by the VC of the university. In the statement by the VC, 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 VC broke the news to the public at the graduation ceremony held by the university. In attendance was the president of the country. 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 VC 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 financial institution pointed out that a roadmap is in place to ensure the rollout of the digital currency is seamless. However, it has mentioned that it is working on a paper seeking the public’s opinion on the CBDC.
It also highlights that the paper will state clearly the pros and cons 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 open 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 likelihood that the school might be in charge of designing the CBDC.