Nigeria sets up a committee to study Bitcoin penetration
Wednesday, December 21, 2016
The Central Bank of Nigeria (CBN) and the Nigeria Deposit Insurance Commission (NDIC) have set up a committee to investigate the growing trend of bitcoin use, according to the government-owned broadcasting station, the Voice of Nigeria. The news was revealed on Friday by NDIC Managing Director Alhaji Umaru Ibrahim at the 2016 Workshop for Financial Correspondents in Kaduna.
With a current population of 182 million people, according to the National Population Commission, Nigeria is the most populous country in Africa. More than half are under 30 years of age and the country expects to grow to 210 million people within five years.
The NDIC is an independent agency of the Federal Government of Nigeria, established in 1988 following a recommendation by the CBN Board. Its primary purposes are to protect depositors and guarantee the settlement of insured funds when a deposit-taking financial institution can no longer repay their deposits. This ultimately helps maintain financial system stability, but NDIC currently faces an uphill battle.
The International Monetary Fund (IMF) named Nigeria Africa’s largest economy last year, with GDP of US$493.831 billion. However, the country lost the top spot in August, to South Africa, according to the Fund’s latest estimates.