Home News Bitcoin Afghanistan and Tunisia Turns Toward Crypto to Provide Boost to Struggling Economy

Afghanistan and Tunisia Turns Toward Crypto to Provide Boost to Struggling Economy

April 24, 2019 13:54
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More countries especially the economically struggling ones are now banking on cryptos to turn around their economic activities. The latest entrant to this club in Afghanistan and Tunisia, who are planning to issue sovereign Bitcoin bonds. The move they believe will help to gain access to much-needed investments and support the struggling economy.

In a news reported by Asia Times, Khalil Sediq, Governor of the Central Bank of Afghanistan is working on to create a sovereign crypto bond to raise $5.8 billion to boost up country’s mining, energy, and agriculture sectors. The country has gone through constant wars and terrorist activities have negatively affected the economy. The country’s external debt is said to be at high risks and the IMF and World Bank have imposed several restrictions towards more borrowing.

Sediq believes that the crypto-based sovereign fund will help Afghanistan to tap the international markets once again.

On the other hand, Tunisia has created a special group to explore the functionalities of sovereign crypto bonds. It is not the first instance that the country is looking towards crypto. Tunisia already has its own digital currency, e-dinar and was the first country to issue its own digital currency.

El Abbasi, Governor of the Banque Centrale de Tunisie said:

Bitcoin and blockchain hyper ledger technology offer central banks an efficient tool to combat money-laundering, manage remittances, fight cross-border terrorism and limit grey economies.”

Both the countries are in direct contact with the World Bank Group and the International Monetary Fund regarding the issue of sovereign crypto bond funds and explore legal possibilities.

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