• Das outlined his six-year endeavor to take use of new technology during his parting address.
  • This included establishing a regulatory sandbox for fintech innovation and the RBI Innovation Hub.

A homegrown central bank digital currency ( CBDC ), the digital rupee, was Shaktikanta Das’s goal for India’s economy on his final day as governor of the Reserve Bank of India ( RBI ).

Das outlined his six-year endeavor to take use of new technology during his parting address on December 10. This included establishing a regulatory sandbox for fintech innovation and the RBI Innovation Hub in Bengaluru.

Banking on CBDC

While describing India’s CBDC development, Das made the observation that many global central banks are still in the early stages of planning and testing. In contrast, he claimed that the Reserve Bank of India (RBI) is at the forefront of central bank innovation as it is among the select few to have initiated a CBDC pilot program.

As he stepped down from his position, Das voiced his hope for CBDCs’ continued role in India’s economy. The Reserve Bank of India (RBI) expanded its cross-border payments infrastructure for quick settlements in November by seeking new commercial partners in Asia and the Middle East.

India is reportedly looking at using CBDCs as its main settlement method for the payments network. This platform is already functioning in Sri Lanka, Bhutan , and Nepal, according to a related Bloomberg article.

Das has previously cautioned against launching a “system-wide CBDC” deployment before learning how the technology may affect consumers and the Indian currency. The collection of user data in pilots would lead to this kind of comprehension. Das suggested a progressive approach to implementing CBDC. And yet, he had voiced his belief that CBDC may form the basis of future local and international payment systems.

Highlighted Crypto News Today:

Will Dogwifhat (WIF) Reclaim Its Bullish Trend?