Uganda Launches CBDC Pilot for Tokenized Economy

Uganda has taken a significant step toward modernizing its financial infrastructure with the launch of a Central Bank Digital Currency (CBDC) pilot. The initiative, a collaboration between Global Settlement Network (GSN) and Diacente Group, focuses on the Karamoja Green Industrial and Special Economic Zone (GISEZ). Backed by $5.5 billion in real-world assets, the project aims to digitize transactions across agriculture, mining, and renewable energy sectors.

The digital shilling, built on GSN's blockchain and backed by government treasury bonds, will tokenize physical assets like food processing plants and solar farms. This MOVE is expected to broaden participation in economic activities by businesses, individuals, and government entities. Compliance with local and international regulations, including anti-money laundering protocols, has been prioritized.

Ryan Kirkley, Co-Founder of GSN, emphasized the practical nature of the initiative: "We’re building infrastructure that goes beyond theory, a programmable economy grounded in real assets, regulatory collaboration, and mass accessibility." The CBDC will be accessible via smartphones and USSD, potentially reaching over 40 million users.