The Cameroon Employers’ Union known as GICAM has debunked the emergence of cryptocurrencies and their eventual adoption by member states of the Central African Economic and Monetary Community CEMAC.
After COBAC, GICAM insist there is no other currency that can function as legal tender within the said economic community apart from the Franc CFA. The group was reacting to news that Central African Republic, has legalised the use of crptocurrency.
According to GICAM, many challenges must be met for cryptocurrency to become a reality in CAR. ” The Central African Republic is a member of the CEMAC and is the factor subject to all monetary regulations in force within the monetary community. The country is subjected to the Convention governing the Central African Monetary Union, CAMU which provides among other things that; the legal tender of the member states of the Union is the Franc of the Financial Cooperation in Central Africa, FCFA’‘ the group explained.
GICAM belives that the above mentioned Convention does not provide for any other legal tender other than the Franc CFA in member coutries and consequently in CAR.
Besides the exclusivity of the monetary unit, this convention also grants the exclusive privilege of issuing currency in the CEMAC zone to the Bank of Central African States BEAC.
The Guardian Post newspaper reports that as GICAM calls for caution, it expresses reservations that even if the central African Republic overcomes the problem of compliance, with community standards and the operationalization institutions were put in place, like the National Agency for the Regulation of Electronic Transactions,ANTE and Trust, the new Central African law will have little effect in the short term.
The main reason for this is that the country’s internet penetration rate was only 11.3% as of january 2022, the literacy rate was 48% and accessing electricity remains a headache for the population.