News

Mauritania Commissions Germany’s G+D to Design Central Bank Digital Currency (CBDC)

Source: CoinGeek

Mauritania has partnered with German tech company Giesecke+Devrient (G+D) to design its central bank digital currency (CBDC).

The Banque Centrale de Mauritanie signed an agreement with the Munich, Germany-based firm on the sidelines of the World Bank and International Monetary Fund’s (IMF) Spring Meetings in Washington, G+D has confirmed.

Known as the digital ouguiya, the potential CBDC would complement cash. However, the central bank hasn’t committed to developing the digital currency, and the partnership only aims to “gain a clear understanding of how a digital Mauritanian Ouguiya could benefit society and the country’s economy.”

If the central bank decides to pursue the project, G+D will support it in establishing the requirements of a CBDC and offer technical solutions to underpin the digital currency.

Mauritania’s 4.7 million residents rely heavily on cash for payments. According to the World Bank, over 75% of the country remains unbanked, with financial services primarily available in major urban centers. Smartphone penetration is estimated at 20%.