According to Peter Turnquest, the Deputy Prime Minister and Minister of Finance of the Bahamas, plans are on-going by the Central Bank of Bahamas to introduce a new digital currency for the nation. The plan to introduce a new national digital currency for use by the citizens of Bahamas was revealed in a cryptocurrency and Blockchain conference held fairly recently. The authorities in charge of Bahamas’ financial sector are of the opinion that the creation of a payment service system that is completely digitized is one of the ways in which the Bahamas government can move forward especially in its financial sector.
This move by the Central Bank of Bahamas to create a digital currency has been influenced by some things. Let’s get to know them.
The Downsize of Commercial Banks
Bahamas is a nation that is made up of several islands. As a result of its topography, transportation is a major challenge. The challenge of transportation that is associated with doing business in the Bahamas has led to the downsizing of many commercial banks. This has resulted in a withdrawal of lots of affected commercial banks from various Bahamas settlements. Now, the withdrawal of lots of commercial banks coupled with the cost of transportation in Bahamas has left the people of these communities without any access to banking services. Now, it appears that the only way that the inhabitants of the many islands in Bahamas without access to traditional banking services can have some form of banking service is through the use of digital financial services, and that is exactly what the Central Bank of Bahamas is working towards.
A National Digital Currency will create a Better Business Environment
The Deputy Prime Minister of Bahamas, Peter Turnquest is of the opinion that the introduction of a national digital currency and blockchain into the Bahamas business environment will help eliminate human activities which result in corruption. He went on to make it known that with the availability of blockchain technology, all processes that are involved in either doing business as well as getting into government establishments that were considered behind the scene can be carried out on one platform. According to him, this will help cancel-out issues of corruption that involve giving tips before getting a job or contract.
In addition to helping to cancel out corruption in business, the introduction of a new national digital currency will reduce the cost of doing business in Bahamas.