Afghanistan and Tunisia look to Bitcoin to revive their economy

Afghanistan and Tunisia are looking to issue bitcoin-based bonds to help save their ravaged economies. Asia Times reported that Khalil Sediq, Governor of the Central Bank of Afghanistan, and Marouane El Abassi, Governor of the Banque Centrale de Tunisie, have spoken at the Spring Meetings of the Boards of Governors of the World Bank Group and the International Monetary Fund in Washington regarding this issue.

Afghanistan

Khalil Sediq told Asia Times that Afghanistan is looking to create a sovereign crypto bond to raise $5.8 billion for the country’s mining, energy, and agriculture sectors. Constant wars and turmoils have seen the country’s GDP fall substantially over the years. 25% of the nation's population is currently unemployed. The IMF stated in 2017 that the country’s external debt was at high risks and, as a result, the World Bank imposed major restrictions on Afghanistan’s non-concessionary borrowing. Sediq believes that Bitcoin will allow Afghanistan to reaccess international markets.

Tunisia

Marouane El Abassi revealed that Tunisia has created a special group to explore the functionalities of a sovereign Bitcoin bond seriously. Tunisia was also the first country to issue its own digital currency, the e-dinar. El Abassi stated:

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