Experts say stablecoins should not be viewed as competitors to Central Bank Digital Currencies (CBDCs), but rather as complementary tools that could help governments and fintech firms tackle challenges in payments, cross-border transfers, and financial inclusion. Pegged to traditional assets such as the U.S. dollar, stablecoins combine the efficiency of blockchain technology with the stability of conventional currencies. This allows for faster payments, cheaper cross-border transfers, and broader access to financial services. ALSO READ: Digital technologies could unlock untapped trade potential, says trade minister Speaking at the Inclusive FinTech Forum (IFF) 2026 in Kigali, industry experts noted that unlike volatile cryptocurrencies such as Bitcoin, stablecoins are increasingly being used for digital payments and cross-border transactions, offering faster and more reliable alternatives. Gabriele Sabbatini, Chief Executive Officer of Hercle, a European digital asset broker-dealer, said policymakers are exploring how privately issued stablecoins and state-backed CBDCs can coexist within the same financial ecosystem. “While stablecoins are gaining traction as fast settlement assets for international payments, CBDCs may play a critical role in strengthening domestic payment systems and reaching underserved populations,” Sabbatini said. “We see complementarity between the two. It isn’t public versus private; it’s public and private working together.” He added that combining cross-border stablecoin settlements with the final settlement of CBDCs could create a practical framework for moving funds efficiently. “Regulators need to be the first innovators. They should work with think tanks and early adopters to study new technologies and applications before scaling them, ensuring regulatory frameworks are feasible and scalable,” he said. ALSO READ: FinTech leaders gather in Kigali for IFF 2026 Ingrid Cyuzuzo, Director of the Financial Inclusion Department at the National Bank of Rwanda (BNR), emphasised that trust and inclusion remain central to the development of CBDCs. She said CBDCs could help address the “last mile” challenge by reaching populations that face infrastructure limitations such as unreliable internet or electricity. “At the core, what central banks aim to solve with CBDCs is the last mile — reaching people who face internet or electricity limitations and enabling them to transact offline while benefiting from the cost and efficiency advantages of digital technology,” Cyuzuzo said. She added that CBDCs could also create a trusted foundation for introducing local stablecoins. “If CBDCs establish the base layer of trust in the financial ecosystem, they can support the introduction of local stablecoins. CBDCs provide initial confidence because they are government-backed, while local currency-backed stablecoins can coexist alongside them to build a resilient digital ecosystem,” she said. Trust, she noted, will remain essential as more local stablecoins emerge in the market. ALSO READ: Is Rwanda ready to become Africa’s FinTech center of gravity? Eddy Nicolai, Co-Founder and Chief Operating Officer at fintech company Nala, highlighted regulatory sandboxes as a key mechanism for balancing innovation with consumer protection. “Sandboxes allow regulators and innovators to test new technologies, pilot financial products, and refine regulatory frameworks before scaling them across the broader market,” Nicolai said. “Start with what you can manage and move progressively. Sandboxes allow you to test technology, protect consumers, and innovate without unnecessary constraints.” He added that sandboxes provide a controlled environment for establishing trust and authenticity in digital assets. “By carefully testing innovations in a sandbox, regulators can ensure stronger market players do not unfairly influence outcomes. It’s about building a foundation of trust before scaling,” he said. Nicolai also noted that sandbox approaches could help address interoperability challenges in Africa’s fragmented payments ecosystem. “Piloting solutions in sandboxes allows regulators to observe how stablecoins and CBDCs function in practice, identify potential risks, and design frameworks that protect consumers while supporting innovation,” he said. Owureku Asare, Head of the Fintech and Innovation Office at the Bank of Ghana, pointed to ongoing pilot projects between Ghana and Nigeria as practical steps toward cross-border interoperability. “We are currently piloting fintech-led cross-border exchanges that demonstrate the potential for stablecoins and CBDCs to work together while enhancing regional integration,” Asare said. He noted that combining the regulatory oversight of central banks with the agility of fintech innovators could help governments develop payment systems that are technologically advanced, accessible to underserved populations, and resilient to operational challenges. Experts stressed that stronger collaboration between the public and private sectors will be key to building a digital finance ecosystem in Africa that is inclusive, efficient, and resilient.
