**Former UN Official: Stablecoins More Useful for Sending Aid to Africa**
Former UN Deputy Secretary-General Vera Songwe said that stablecoins as cross-border money transfers are more useful and important than aid in Africa.
“650 million people in Africa do not have access to bank accounts. With smartphones, you can access stablecoins, allowing people to save in a currency that is not vulnerable to inflation fluctuations and makes you poor,” said Songwe at the World Economic Forum (WEF) 2026 in Davos, Thursday (22/01).
For example, Songwe noted that traditional money transfer services in Africa often charge about US$6 for every US$100 sent. Meanwhile, stablecoins cut costs and settlement times.
Additionally, Songwe mentioned that inflation has reached 20% in 12 to 15 countries across Africa since the COVID-19 pandemic, and stablecoins provide a way to store currency value that is less vulnerable to inflation and serves as a financial safety net.
Former UN Deputy Secretary-General Vera Songwe said that stablecoins as cross-border money transfers are more useful and important than aid in Africa.
“650 million people in Africa do not have access to bank accounts. With smartphones, you can access stablecoins, allowing people to save in a currency that is not vulnerable to inflation fluctuations and makes you poor,” said Songwe at the World Economic Forum (WEF) 2026 in Davos, Thursday (22/01).
For example, Songwe noted that traditional money transfer services in Africa often charge about US$6 for every US$100 sent. Meanwhile, stablecoins cut costs and settlement times.
Additionally, Songwe mentioned that inflation has reached 20% in 12 to 15 countries across Africa since the COVID-19 pandemic, and stablecoins provide a way to store currency value that is less vulnerable to inflation and serves as a financial safety net.
