The Bank of Ghana (BoG) says it has completed its Central Bank Digital Currency (CBDC) pilot project in a sandbox environment.
Offline smart cards and filia connect device
The pilot project was implemented in partnership with Giesecke+Devrient (G+D), which provided the retail CBDC technology solution called G+D Filia®. The solution was adapted to the Ghanaian context after extensive consultations and testing with financial service providers, merchants, and consumers.
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The bank tested the Retail/General Purpose and Token-Based CBDC on a two-tier distribution model, with Bank of Ghana (central bank) as the issuer and wholesale distributor of the eCedi to financial service providers (FSPs), while FSPs in turn were responsible for the retail distribution of the eCedi.
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Field tests in offline and online scenarios were carried out in selected geographical locations within the country:
Accra (online test) Urban/High value, high volume environment
Tarkwa (online test) Peri-Urban/High value, low volume environment
Sefwi Asafo (offline test) Rural/ Low value, low volume environment
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“eCedi to Boost Financial Inclusion in Rural Areas with an Offline Solution, Says Bank of Ghana”
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FSPs including:
Fidelity Bank
CAL Bank
Vodafone Mobile Financial Services
IT Consortium, and
ExpressPay
were also responsible for developing mobile applications (Apps) for online transactions based on pilot specifications, acquiring merchants, onboarding customers and facilitating eCedi transactions.
https://t.co/v90Nq5wI3z Vodafone Cash and CalBank customers have been granted the opportunity to test the online version of Bank of Ghana’s Central Bank Digital Currency, the eCedi.
— Eager Beaver (@eagerbeavertech) May 30, 2022
BoG tested offline transactions to assess the capability of the solution to be accessed in off-grid locations.
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With the eCedi, individuals were able to carry out peer-to-peer funds transfers and pay merchants for goods and services using eCedi compliant mobile phone apps, smart devices, and smart cards.
“The Filia platform by Giesecke+Devrient utilised a simplified form factor – smartcards and Filia Connect devices which were easy to use and intuitive,” said the bank on offline implementation.
The figure below shows the eCedi user journey for the offline implementation:
Although all of the pilot was deemed successful, the apex bank which recently won the prestigious 2024 ‘Innovation in Digital Currency Design for Financial Inclusion’ award, does not intend to immediately implement the solution at the moment.
“The eCedi is Token-based and Built on the #Hedera Hashgraph Network, Says Bank of Ghana #HBAR “ CBDC | Bank of Ghana Wins Innovation in Digital Currency Design for Financial Inclusion at 2024 Currency Research Awards – https://t.co/LHVrJZxlgS
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“The eCedi pilot is considered to be successful based on the assessment of its outcome. However, considering the prevailing economic conditions, it is imperative that economic stabilization is prioritised before initiating a new venture such as this,” said Dr. Maxwell Opoku-Afari, First Deputy Governor of Bank of Ghana.
“Nevertheless, the goal of the Bank is to be fully prepared and equipped to navigate challenges that may arise in the current climate; and we intend to focus on achieving institutional readiness during this period to ensure a seamless and successful launch of the eCedi at the appropriate time.”
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