The initiative is part of a wider plan to modernize the country’s financial system through tokenization and blockchain infrastructure.
The project is being developed in partnership with the Global Settlement Network (GSN) and Uganda’s Diacente Group, which together aim to digitize more than $5 billion worth of real-world assets. Their system uses a permissioned blockchain where the digital Ugandan shilling is backed by treasury bonds and fully accessible through smartphones.
Diacente Group chairman Edgar Agaba said the pilot is designed to “unlock long-term value for Uganda’s economy” by merging technology and transparency. He added that integrating a CBDC into national development plans could help attract investment, strengthen local industries, and make payments more efficient.
According to GSN, the pilot complies with both domestic and global standards, including Know Your Customer and Anti-Money Laundering requirements. The network also supports tokenization of assets in key sectors such as agriculture, energy, and mining — areas central to Uganda’s growth strategy.
Uganda joins a growing list of African countries experimenting with central bank digital currencies. Nigeria, Ghana, and South Africa already have pilots underway, while Egypt plans to launch by 2030. Analysts see these projects as part of a broader regional effort to build home-grown digital payment systems capable of supporting faster trade and inclusion.
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