Africa’s De-Dollarization Dream Collapses as Citizens Cling to the US Dollar

Governments push local currencies—but the streets vote with their wallets.

Subheader: The Dollar's Iron Grip

African policymakers keep touting de-dollarization. Meanwhile, black markets for USD thrive from Lagos to Nairobi. Guess which one the public actually trusts?

Subheader: Lip Service vs. Reality

Central banks issue press releases. Forex traders issue rates. Spoiler: they’re not the same numbers. When your local currency loses 30% annually (looking at you, Nigeria), even street vendors become dollar-hoarding macroeconomists.

Subheader: Crypto’s Silent Invasion

No one’s dumping dollars for shoddy CBDCs—but peer-to-peer stablecoin volumes tell the real story. USDT wallets don’t lie. Another ‘brilliant’ fiat experiment fails while hard money wins. *Cue shocked faces from IMF consultants billing by the hour.*

Governments in Africa Push For De-Dollarization, But Public Trusts the US Dollar

The government’s de-dollarization rhetoric is falling flat as the public still uses the US dollar for local transactions. Even after their local currencies performed better than the USD this year, many still prefer the greenback over local currencies. The development is putting the government in a spot as the dollar remains king despite multiple attempts to uproot it. The public is drawn to the stability of the USD and its global acceptance, which drives trust towards the currency.

Even the USD-backed stablecoins are the most preferred FORM of payment in Africa for cross-border settlements.said VALR co-founder Badi Sudhakaran.