Central Bank of Papua New Guinea Embraces Blockchain in Effort to Help Unbanked

In an effort to streamline their banking services and push Papua New Guinea (PNG) forward as an emerging marketplace, the country’s central bank has outlined a plan for Blockchain technology integration.

The plan was presented at a conference on the topic, with the Central Bank governor, Loi Bakani announcing the move.

He included details of the PNG Central Bank’s Blockchain trials, as well as the presentation of a PNG Digital Commerce and Cryptocurrency Association. The creation of the association was announced in July and it is now operative, seeking to bring PNG into the digital age.

PNG potential

Recent developments have brought the potential for PNG to the forefront, as the country has sought to shake off its image as a third world nation. Bakani said:

“This will allow PNG to join the Global Blockchain Forum, which gets PNG a cutting edge in discussions about Blockchain at a global level, along with Australia, Canada, US, Dubai, UK and Japan. There is no reason why PNG can’t be a leader for emerging markets.”

The country is hoping that the added focus on digital technology will produce greater levels of overseas investment, as well as economic opportunity at home. Because of the infrastructure issues facing the country, many of the poorest inhabitants are too far removed from the banking sector to have any viable options.

Blockchain technology, however, and the digital currencies that are built on it, can be used in remote locations because of the decentralized programming. The Assistant Governor of the central Bank of PNG, Elizabeth Genia, said:

“It is the new innovations that can change people’s lives – almost 85 percent of our people live outside the banking system.”

The country’s focus follows on the heels of other major banking institutions embracing Blockchain technology including Bank of America, South Africa and others.