Using first principles many-body theory methods (GW+BSE) we demonstrate that optical properties of graphane are dominated by localized charge-transfer excitations governed by enhanced electron correlations in a two-dimensional dielectric medium. Strong electron-hole interaction leads to the appearance of small radius bound excitons with spatially separated electron and hole, which are localized out-of-plane and in-plane, respectively. The presence of such bound excitons opens the path on excitonic Bose-Einstein condensate in graphane that can be observed experimentally.
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