NEW DELHI: The Reserve Bank is likely to launch the pilot of Central Bank Digital Currency (CBDC) for transactions for interbank borrowing or call money market by October, central financial institution Executive Director Ajay Kumar Choudhary stated on Sunday.
The pilot of the wholesale CBDC, generally known as the Digital Rupee-Wholesale (e-W), was launched on November 1, 2022, with the use case being restricted to the settlement of secondary market transactions in authorities securities.
“The RBI will introduce the wholesale CBDC in the call market either this month or next month,” Choudhary stated on the sidelines of the G20 Leaders’ Summit right here.
The introduction of CBDC was introduced in the Union Budget 2022-23 by Finance Minister Nirmala Sitharaman and vital amendments to the related part of the RBI Act, 1934, had been made with the passage of the Finance Bill 2022.
The RBI picked 9 banks — State Bank of India, Bank of Baroda, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, YES Bank, IDFC First Bank and HSBC — for its pilot venture for wholesale CBDC.
Besides, the central financial institution has already rolled out a pilot in the retail model of the CBDC (e-R) on December 1, 2022. The e-R is in the type of a digital token that represents authorized tender.
It is being issued in the identical denominations because the paper foreign money and cash. It is being distributed by means of monetary intermediaries like banks. Users can transact with e-R by means of a digital pockets provided by the collaborating banks.
The RBI is showcasing numerous digital initiatives in the monetary sector on the exhibition pavilion throughout the G20 Summit.
These embrace Public Tech Platform (PTP) for Frictionless Credit, CBDC, UPI One World, RuPay On-The-Go and Bharat Bill Payment System.
The pilot of the wholesale CBDC, generally known as the Digital Rupee-Wholesale (e-W), was launched on November 1, 2022, with the use case being restricted to the settlement of secondary market transactions in authorities securities.
“The RBI will introduce the wholesale CBDC in the call market either this month or next month,” Choudhary stated on the sidelines of the G20 Leaders’ Summit right here.
The introduction of CBDC was introduced in the Union Budget 2022-23 by Finance Minister Nirmala Sitharaman and vital amendments to the related part of the RBI Act, 1934, had been made with the passage of the Finance Bill 2022.
The RBI picked 9 banks — State Bank of India, Bank of Baroda, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, YES Bank, IDFC First Bank and HSBC — for its pilot venture for wholesale CBDC.
Besides, the central financial institution has already rolled out a pilot in the retail model of the CBDC (e-R) on December 1, 2022. The e-R is in the type of a digital token that represents authorized tender.
It is being issued in the identical denominations because the paper foreign money and cash. It is being distributed by means of monetary intermediaries like banks. Users can transact with e-R by means of a digital pockets provided by the collaborating banks.
The RBI is showcasing numerous digital initiatives in the monetary sector on the exhibition pavilion throughout the G20 Summit.
These embrace Public Tech Platform (PTP) for Frictionless Credit, CBDC, UPI One World, RuPay On-The-Go and Bharat Bill Payment System.
