IMF warns stablecoin surge in Nigeria threatens naira, monetary policy
By Aboki Forex —
The International Monetary Fund has warned that the growing use of dollar-backed stablecoins in Nigeria could weaken demand for the naira and hurt the country's monetary policy. The warning comes as Nigeria remains one of the world's largest crypto markets.
In a report titled 'Stablecoins in Nigeria: A Growing Cross-Border Channel' released on Tuesday, the IMF said the widespread use of these digital dollar-linked assets for savings and payments poses risks to monetary sovereignty.
Nigeria received about $59 billion in crypto inflows between July 2023 and June 2024. The country ranked second globally on Chainalysis's 2024 Global Crypto Adoption Index and sixth in 2025. Since 2019, Nigeria has accounted for roughly 60 percent of all stablecoin inflows into sub-Saharan Africa.
The IMF acknowledged that stablecoins offer benefits like cheaper and faster cross-border payments. But it cautioned that their rising popularity could have broader macroeconomic effects on Nigeria's monetary framework.
The IMF also flagged risks to financial integrity. It pointed to the speed and anonymity of some platforms as potential enablers of illicit finance, including money laundering.