TECHDIGEST – The Africa Fintech Foundry (AFF) says it is collaborating with the Central Bank of Nigeria (CBN) to support 10 startups, to increase the adoption of eNaira in the country.

The Head of AFF, Mr Daniel Awe, said this in an interview with the News Agency of Nigeria (NAN) on Saturday in Lagos.

He spoke on the sideline of the Semi-Final Pitching of the eNaira Hackathon 2022.

Awe said that the top 10 startups, innovators, entrepreneurs, were part of the over 5,000 startups that registered for the eNaira Hackathon.

He said that there was the need to increase the adoption of eNaira in the country, as it enhanced financial inclusion, supported digital economy and improved economic activities.

”eNaira was introduced by CBN in 2021 as a digital currency and a lot of people have asked the question, what is actually the usefulness of this eNaira?

Read Also: Pantami Confirms Irregularities on IPPIS, Vows Review

”A lot of people have also criticised eNaira, that they prefer cryptocurrency, but the truth is that eNaira is going to be a successful product when there are use cases, when people are able to see problems it is going to be solving,” he said.

Awe said that AFF and CBN were collaborating on the hackathon in order to increase the adoption of eNaira.

”So the hackathon is a platform where innovators, developers, entrepreneurs, coders come together, to solve problems, to create innovative ideas.

”When we layer that on eNaira, it means we brought in different players within the ecosystem – developers, coders, innovators, entrepreneurs, to come up with different ideas, different use cases, that they can leverage on eNaira,

”This is so that the consumers of eNaira will now see the benefit of eNaira, they will have the opportunity to see the problem that eNaira will solve,” he said.

Awe said that CBN’s role was just to create the platform for fintech startups and entrepreneurs the ecosystem to leverage to create solutions that would benefit the entire financial services space.

He said about 5,000 players within the fintech ecosystem applied for the hackathon.

Awe said that they were reduced to about 175 teams and eventually 70 for the quarter final pitching.

He said that the semi-final would see 20 teams being selected for the finals, of which the top 10 would be assisted to boost eNaira adoption in the country.

”Now, this top 10 potential businesses when they come out of the final of the hackathon, there is a cash prize for them.

”I think number one is going to get 5 million eNaira. Number two is getting 3 million eNaira. Number three, 2 million and the remaining, the next ten will get 1 million eNaira.

”Afterwards, those top 10 will resume in the AFF accelerator programme, whereby some of them will get some funding to start up their businesses on their ideas,” he said. 

Awe said that they would be guided by CBN and AFF.

He said that by the time they come up with good business with their innovations, employment would be created and they would increase the adoption of eNaira.

Awe said that there was possibility of wealth that would be created by these people. (NAN)

The post ENaira: CBN, AFF, To Support 10 Startups appeared first on Tech Digest News.

TECHDIGEST – The Central Bank of Nigeria (CBN) has promised Nigerians that appropriate processes have been put in place to protect the e-Naira against hackers.

The Director, Corporate Department, CBN, Mr Osita Nwanisobi, disclosed this at a central bank fair themed, “Promoting Financial Stability and Economic Development.”

According to him, the e-Naira will tackle financial institution challenges, cross-border issues, diaspora relationships, and taxation.

What the CBN is saying

Mr Osita Nwanisobi spoke on taking a tougher stand on hackers and protecting the financial system. He said, “Which will make it very difficult for any cybercriminal to break and penetrate into customers’ accounts. Gone are the days when cybercrooks will be allowed to have a field day and smile home with people’s sweat.

“e-Naira is the Digital representation with the equivalent of the physical Naira, the only difference is that, while one is physical, the other one is virtual.”

The director also highlighted that the eNaira is supposed to reduce the difficulty faced by bank customers at the point of transaction.

“We have cash payment, electronic payment and now added digital payments, all aimed at reducing hardship faced by bank customers at the point of transactions with their bank or other banks.

“The beauty of the e-Naira is that it is instant, immediate, and the cost is very low as well. That is why when we are talking of the e-Naira, we say it’s the same Naira with possessing power and possibilities,” Nwanisobi said.

Apart from new technologies to deter fraudsters, Nwanisobi said the CBN had implemented additional steps like making individual passwords up to 12 digits long.

The post eNaira is safe from hackers – CBN appeared first on Tech Digest News.

TECHDIGEST – The Central Bank Digital Currency (CBDC) known as the eNaira has taken off with over N500m of the currency minted so far.
Speaking at the launch of the digital currency in Abuja on Monday, Godwin Emefiele, CBN Governor, explained that 33 banks have been fully integrated and live on the platform disclosed that over 2.5 million people visit the website daily.

He said another N200 million has been issued to financial institutions and over 2,000 customers have been onboarded and 120 merchants have successfully registered on the eNaira platform.

Immediately after the launch, Emefiele revealed that “customers who download the digital currency Speed Wallet App will be able to perform the following: onboard and create their wallet; fund their eNaira wallet from their bank account; transfer eNaira from their wallet to another wallet and make payment for purchases at registered merchant locations.”

“will continue to refine, fine-tune and upgrade the eNaira” and he assured that “Nigerians should expect to see additional functionalities in the coming months”.

Some of the additional functionalities include: accessibility and onboarding of customers without BVN and the use of the eNaira on the phone without the internet to further drive financial inclusion, making Nigeria one of the first countries in the world to deploy the CBDC via USSD on phones without relying on internet connectivity.

Another feature that will be deployed by the eNaira is the “onboarding of revenue collection agencies to increase and simplify collections and the creation of sector- specific tokens to support the Federal Government’s social programmes and distribution of targeted welfare schemes in a bid to lift millions out of poverty by 2025”.

The central bank over the bank said that President Muhammadu Buhari was scheduled to formally unveil the eNaira, on Monday 25 October 2021, at the State House, Abuja.

The launch of the eNaira is a culmination of several years of research work by CBN in advancing the boundaries of payments system in order to make financial transactions easier and seamless for every strata of the society.

In a statement on its website, the CBN said: “following series of engagements with relevant stakeholders including the banking community, fintech operators, merchants and indeed, a cross section of Nigerians, the CBN designed the digital currency, which shall be activated on Monday, October 25, 2021

“The eNaira, therefore, marks a major step forward in the evolution of money and the CBN is committed to ensuring that the eNaira, like the physical Naira, is accessible by everyone.

“Given that the eNaira is a journey, the unveiling marks the first step in that journey, which will continue with a series of further modifications, capabilities and enhancements to the platforms.

“The CBN will continue to work with relevant partners to ensure a seamless process that will benefit every user, particularly those in the rural areas and the unbanked population.

“Since the eNaira is a new product, and amongst the first CBDCs in the world, we have put a structure to promptly address any issue that might arise from the pilot implementation of the eNaira.

Accordingly, following Monday’s formal launch by the President, the Bank will further engage various stakeholders as we enter a new age consistent with global financial advancement. The theme of the eNaira is: “Same Naira, more possibilities”

The post JUST IN: CBN finally launches Digital Currency, mints N500m appeared first on Tech Digest News.

TECHDIGEST – Nigerian President, Muhammadu Buhari will at the State House in Abuja today formally unveil the Nigerian Central Bank Digital Currency (CBDC), known as the eNaira with the theme “Same Naira, more possibilities”.

In a statement signed by Osita Nwanisobi, Director, Corporate Communications at CBN, after today’s formal launch by the President, the Bank will further engage various stakeholders as Nigeria enters a new age consistent with global financial advancement.

The launch of the eNaira is a culmination of several years of research work by the Central Bank of Nigeria in advancing the boundaries of payments system in order to make financial transactions easier and seamless for every strata of the society.

The launch is coming following series of engagements with relevant stakeholders including the banking community, fintech operators, merchants and indeed, a cross section of Nigerians.

“The eNaira therefore marks a major step forward in the evolution of money and the CBN is committed to ensuring that the eNaira, like the physical Naira, is accessible by everyone. Given that the eNaira is a journey, the unveiling marks the first step in that journey, which will continue with a series of further modifications, capabilities and enhancements to the platforms,” the statement added.

The statement added that CBN will continue to work with relevant partners to ensure a seamless process that will benefit every user, particularly those in the rural areas and the unbanked population. Since the eNaira is a new product, and amongst the first CBDCs in the world, we have put a structure to promptly address any issue that might arise from the pilot implementation of the eNaira.

The post Nigeria to officially launch Digital Currency today appeared first on Tech Digest News.

TECHDIGEST – The Central Bank of Nigeria’s eNaira website has gone live ahead of October 1 official launch.

According to the website, www.enaira.com, “e-Naira is a CB -issued digital currency that provides a unique form of money denominated in Naira.”

The CBN stated that e-Naira would serve as both a medium of exchange and a store of value, offering better payment prospects in retail transactions when compared to cash payments.

It added that e-Naira had an exclusive operational structure that was both remarkable and nothing like other forms of central bank money.

“There are several benefits from a central bank-issued digital currency in Nigeria, and this cuts across different sectors of, and concerns of the economy,” it stated.

According to the CBN, the e-Naira app would feature and reflect brand values centered around ease of use and efficiency while bearing in mind security.

“We have developed this App with a deeper understanding of customers, what they value, their abilities and also their limitations,” it stated.

The website explained that customers would be able to move money from their bank account to their e-Naira wallet with ease; monitor their e-Naira wallet, check balances and view transaction history; make in-store payment using their e-Naira wallet by scanning QR codes; and send money to one another through a linked bank account or card.

It stated that the e-Naira was crafted with interesting elements for modern solutions that paid keen attention to details.

According to the website, the Nigerian digital currency that would be issued and regulated by the CBN had benefits which included fast, cheap, reliable and available payment channel; supports digital economy; improved economic activities; and simplified and easy cross border payments and trade.

It also said it would ensure inclusion of excluded people in the financial system; improved effectiveness of monetary policies; ease in tax remittance and collection to support the country’s growth; and ease in targeted social interventions to support Nigerians.

During the CBN Governor, Godwin Emefiele, after the last Monetary Policy Committee meeting recently, disclosed that it would be launched on Independence Day celebration.

He said, On October 1, a Nigerian should be able to download the e-Naira app either through Google play store or Apple App store, onboard themselves, fund their e-Naira wallet, using their bank accounts or with cash at a registered agent.”

According to him, the e-Naira launch was not going to be a one off thing, but a journey that would start on October 1.

The post e-Naira Website Goes Live, Displays CBN Digital Currency Features appeared first on Tech Digest News.

TECHDIGEST – The official website of the upcoming Central Bank of Nigeria’s (CBN) digital currency, the eNaira, has already recorded over a million hits barely 24 hours after going live.

The website has gone live, exactly one week to the planned launch of the initiative.

The development shows a reflection of the level of interest in the proposed digital currency. According to Thisday, the website promises easier financial transactions for users of e-Naira, offers opportunity for peer-to-peer payments which allows users to send money to one another through a linked bank account or card; allows customers to move money from their bank account to their e-Naira wallet with ease; can monitor their e-Naira wallet, check balances and view transaction history; and make in-store payment using their e-Naira wallet by scanning QR codes.

In addition, customers are allowed to scan the QR Code on the website to get started. CBN Governor, Mr. Godwin Emefiele, while speaking to a gathering of foreign investors in New York, recently, had told his audience that because of activities surrounding the country’s Independence celebration on October 1, the earlier planned launch of the e-Naira on same date would likely be rescheduled to October 4, 2021.

“The central bank would not want the event to take the shine away from the Independence celebration,” he said.

“We are going to be the first country in Africa to launch a digital currency. It is a novel idea because we think it will facilitate trade, Nigeria being the biggest economy in Africa, this will set the tone to tell Africa that we are ready to lead and we would indeed lead in trade and we would make sure that happens.

“Between all central bankers in ECOWAS, we are already working on certain collaboration to make trade, payment and banking system integrate in such a way to set example on the African Continental Free Trade Area (AfCFTA),” he added.

The post Nigeria’s e-naira platform records million hits within 24hrs appeared first on Tech Digest News.

TECHDIGEST – Nigeria Computer Society (NCS), the umbrella body for all Information Technology practitioners in Nigeria, has warned that the Central Bank of Nigeria (CBN’s) decision to outsource the e-Naira project to a foreign is a total abuse of known Executive Order 003 of 2017.

The Body established in 1978 is concerned with the promotion of national development using Information Technology.

In a strong worded press release signed by the Professor Adesina Sodiya, the president and Iyiola Ayoola, executive secretary, the Society said that as good as the e-Naira technical partner selection criteria are, it has become very imperative for NCS to advise CBN on the way forward on the issue.

Recall that the Central Bank of Nigeria (CBN) through Mr. Osita Nwanisobi, the director of Corporate Communications, recently announced the formal engagement of the global Fintech company, Bitt Inc. as the Technical Partner for its digital currency, named eNaira which is due to be unveiled next month.

“The CBN’s selection of Bitt Inc, as e-Naira technical partners from among highly competitive bidders was hinged on the company’s technological competence, efficiency, platform security, interoperability, and implementation experience”, the CBN claimed.

But this is not going down well with IT experts in Nigeria. For instance, NCS wandered why Bitt Inc; the Fintech company, was engaged by the Central Bank of Nigeria (CBN) as the Technical Partner for its digital currency project; “company of not more than three staff and a lower market capitalization compared to any of Nigeria’s major Fintech companies”.

“It is a missed opportunity to further strengthen the value of Nigeria’s Fintech ecosystem, reduce the country’s undue exposure to FOREX imbalance and enhance the value of the naira struggling against major currencies”, Sodiya said.

“Non-compliance to IT policy and framework of Federal Government: By law, MDAs are under obligation to seek clearance from the NITDA before embarking on any IT project as enshrined in Section 6 of the NITDA Act, 2007, and by extension seeking clearance from Computer Professionals Registration Council of Nigeria (CPN), the only regulatory body saddled with that responsibility”.

“Presidential Executive Order 003 of 2017 clearly states that ‘’All Ministries, Departments and Agencies (MDAs ) of the FGN shall grant preference to local manufacturers of goods and services providers in their procurement of goods and services; Any document issued by any MDA of the FGN for the solicitation of offers, bids, proposals or quotations for the supply of provision of goods and services (Solicitation Document), in accordance with the above , shall expressly indicate the preference to be granted to domestic manufacturers, contractors and service providers and the information required to establish the eligibility of a bid for such preference’’, he said.

Also, Presidential Executive Order 005 of 2018 corroborates Order 003 and goes deep down to enumerate punishment for violations of these executive orders.

“These Orders were outrightly violated and their contents flagrantly jettisoned overboard”, NCS reminds the Federal Government of Nigeria.

Sodiya said while CBN based its decision to select Bitt Inc, a company in the Caribbean as a technical partner, on technical challenges, and the necessity of speed, the fact remains that the pockets of startups which went down after the CBN cryptocurrency technical ban, could have provided technical capabilities for this project.

To this end, NCS wants CBN to reverse its decision on the choice of technical partners for the e-Naira project and allow all the Fintech giants (in Nigeria) apply/bid for the job.

“Nigeria has cutting edge financial technology development and implementation firms like: Precise Financial Systems (PFS); SystemSpecs Nigeria the firm behind Remita; Migo Credit-as-a-Service digital platform; Unicorn limited; Flutterwave; OPay; Fintrack limited; Inksledger financial system, to mention but few”.

He said that Nigeria’s National Digital Economy Policy and Strategy (NDEPS) is supposed to enable Nigeria to take advantage of digital technologies in order to become a leading player in the global digital economy.

The post NCS frowns at CBN’s selection of foreign firm for e-Naira project appeared first on Tech Digest News.

TECHDIGEST – The Central Bank of Nigeria has explained the economic implications and importance of a centralised and regulated digital currency in Nigeria.

The apex bank had earlier revealed that it would be launching e-naira, a digital equivalent of the naira in October, in line with global trends.

According to Director, Information and Technology, CBN, Rakitya Muhammed, the introduction of the e-naira can catalyse Nigeria’s digital economy, boost cross border trade and enable better macroeconomic policy formulation.

Muhammed spoke virtually at the Third Quarter Industry Forum of the Committee of E-business Industry Heads held in Abuja on Wednesday.

She spoke on the theme, “Digital Currency and the Prospects of Central Bank Digital Currency in Nigeria”.

She said, “If people adopt more of the usage of the e-naira, then we will be able to have more data to formulate better macroeconomic policies.

“And when countries come on board and create their own digital currencies then we will be able to have faster exchange of currencies and therefore we might be able to boost cross border trade at a much lower cost.

“Of course payment efficiency, even though we know that Nigeria has one of the best payment systems in the world, we will still be able to improve on that.

“We believe that the e-naira will be a catalyst for digital economy because the people who are outside the formal banking sector will be integrated.”

Speaking on the e-naira design, Muhammed disclosed that the design would soon be revealed as the apex bank had concluded its development.

The e-naira, she noted, will be a legal tender like the fiat naira, it will not replace but complement the naira and anonymity of transactions is guaranteed.

“In terms of the e-naira design, it will be a legal tender just like cash which is one of the fundamental difference between it and the cryptocurrency.

“One, e-naira will be equal to one fiat naira, and we adopted a two-tier retail model that would be a lot less disruption into the financial system.

“Our banks, payment service providers and Fintech are all going to be onboard and we are going to key to the infrastructure they have already and incorporate the new system.

“It is not meant to replace the cash we have, but only to supplement,” the director noted.

On his part, the Chairman of to the CeBIH, Adeyemi Atanda lauded the CBN’S e-naira initiative, stating that the e-naira will facilitate faster and cheaper payment transactions and drive financial inclusion.

He assured Nigerians that the CBN and banking sector are well equipped to manage fraud and other cyber security challenges that can arise from the adoption of the e-naira.

He said, “We have been very innovate in trying to guide against fraud as much as possible.

“All of those gains we have learnt in digital banking for managing fraud, things like second factor or multi factor authentication, encryption, all of those things will still apply in this case.

“On top of that, the limit is there; and, public enlightenment will also need to go.”

The post Why Nigeria needs digital currency – CBN appeared first on Tech Digest News.

TECHDIGEST – The Central Bank of Nigeria (CBN) has said the e-Naira which would be launched on October 1, 2021, is a form of payment by all merchants and business outlets.

The CBN Director, Payment System Management, Musa Jimoh, asked Nigerians to open e-Naira wallets which could be downloaded on their phones from October 1.

Jimoh who disclosed this on Monday, September 20, added that charges of transferring funds would be lower for those using the e-naira.

He said: “Today, anywhere you present naira to pay, compulsorily it must be accepted because that is our fiat currency. So, the same way naira is accepted that you can’t reject it, is the same way e-naira must be accepted. Anywhere in this country where e-naira is presented, it must be accepted. So, merchants must accept e-naira as a means of payment.

“The liability of the e-naira money is directly on CBN which is similar to the cash you hold. The liability of the cash you hold today rests with the CBN. So, it gives Nigerians the opportunity to bank with CBN.”

Speaking on whether Nigeria is ripe for the e-Naira due to the technological challenges in the country, Jimoh said he didn’t expect it to be a major problem.

According to him, “E-naira is a journey. We don’t expect that on October 1, all business merchants in Nigeria will accept it. We don’t even expect that come October 1, all Nigerians will have e-naira. It is a journey. It will continue to grow.

“Remember there was a time in this country when you had to practically beg business outlets, merchants and others to accept POS transactions. But we have come to a point where traders now beg for POS terminals.

The CBN director added that e-naira comes with many benefits and would save the cost of printing more notes.
“Today the cost of producing the naira and coins is very high. It costs money to print naira in this country. Now, the minting of e-naira is electronic so it reduces cost.”

Commenting on a foreign firm chosen by the CBN instead of a Financial Technology company in Nigeria, Jimoh said it had to do with capacity.

Jimoh explained further that the company would be registered and managed in part by Nigerians while the technological aspect would be handled by the foreign arm.

The CBN director said: “The CBN digital currency is not what every country has implemented. We are blazing the trail in Africa. Nigeria is the only country in Africa that is doing it. And so many advanced countries are not doing it. You can only talk of China and the Bahamas that have tried to do something serious on central bank digital currency.

“So, the technology is not everywhere you need to be very sure. You cannot use Nigeria as a testing ground and say oh if it works, well, if it doesn’t work. You have to use entities that have actually done it, that are sure of it.

“What we did is to partner with an entity that has done it, that has that experience because we know that eventually the system is going to run in Nigeria.

“So, we also want to domicile some responsibilities here. So, the arrangement is such that you are going to have a Nigerian incorporated company, Bitt Nigeria, which will basically be running the system.”

The post CBN Asks Nigerians To Open e-Naira Wallets appeared first on Tech Digest News.

TECHDIGEST – In June 2021, the Central Bank of Nigeria (CBN) announced plans to launch a digital currency dubbed the ‘e-Naira’ by October 2021, joining 81 countries strongly considering digital currencies.

The CBN’s decision followed two years of contemplation on digital currency technology. Additionally, the CBN’s intention to achieve 80% financial inclusion by the end of 2021 is another motivation to launch digital money.

While there is much information about this digital currency which is soon to be launched, below are six things you should know about the nature of this innovation:

It is purely digital.

The e-Naira would be a Central Bank Digital Currency (CBDC) which means that while it is regulated by the CBN, it is a token that would only exist in digital and electronic form.

It is universally transferable.

The CBDC would be eligible for local and international transfers with little to no time lag and cheaper transaction fees than physical currencies. Also, it would allow you to transfer existing funds in your bank to your digital currency account.

It has a myriad of economic advantages

With the e-Naira, Nigerians can engage in easier cross-border trade, as well as enjoy a cheaper and faster inflow of remittances. Also, a digital currency would provide more financial opportunities for Nigerians as they would be able to create new business opportunities and financial products and services.

According to the CBN, another perk of the e-Naira is a reduction in the cost of operations and cash management. It would also leave a clearer footprint of digital transactions, making it easier for financial institutions to track transactions.

Financial Institutions would still be relevant

The digital currency would be implemented through a two-tiered model which would enable a structure that leaves room for public-private partnership. Just like the physical currency, the CBN will design the e-Naira but disseminate it through regulated financial institutions, which would then provide digital cash to individuals and businesses.

It’s not a Cryptocurrency

While all cryptocurrencies are digital currencies, it is important to note that not all digital currencies are cryptocurrencies. The e-Naira would be regulated by the Central Bank of Nigeria, but cryptocurrencies are not regulated by any government.

Implementation is on track

A recent development in the process of implementing digital currency is the selection of a technical fintech partner, Bitts Inc. After a thorough selection process, as prescribed by the Nigeria Public Procurement Act, Bitts Inc. emerged as a partner to the CBN for this innovative project.

Bitts Inc. prioritises the creation of payment systems that ensures an increase in social inclusion, financial inclusion and overall sustainable economic growth; the excellence in their operation methods has earned them acknowledgment from the Bretton Woods Institutions – IMF/World Bank. This is one of the reasons the CBN enlisted them for this crucial exercise.

Also, the company was the first fintech to digitize a national currency on a blockchain by creating a synthetic CBDC with the support of the Governor, Central Bank of Barbados and the country’s Minister of Finance.

As Nigeria counts down to her 61st Independence Day celebration, citizens can look forward to the start of a digital era where the CBN prioritises making financial operations more citizen-centric.

According to the Geo-economics Centre, the Bahamas, Saint Kitts and Nevis, Antigua and Barbuda, Saint Lucia, and Gernada are five countries that have fully launched digital currencies; if things go according to plan, Nigeria will be amongst them.

The post Thirteen Days To Launch Of e-Naira, Here Are Six Things You Should Know appeared first on Tech Digest News.