RBI To Soon Let Non-Banking Payments Systems Offer CBDC
By: Geetanjali
On Friday, April 5, 2024, RBI proposed to involve non-banking payments system operators to offer CBDC (Central Banks Digital Currency) wallets to reach out to customers from every nook and corner.
Non-banking payments operating systems like google pay, phone pay and other third party payments banks will be able to issue wallets for CBDC.
Currently, only banking units are involved in the CBDC wholesale and retail wallet pilot programme.
RBI Governor Shaktikanta Das while conferring the MPC (Monetary Policy Committee) said, “CBDC pilots in the Retail and Wholesale segments are underway with more use cases and more participating banks. Continuing with this approach, it is proposed to make CBDC-Retail accessible to a broader segment of users in a sustained manner, by enabling non-bank payment system operators to offer CBDC wallets.
This is expected to enhance access and expand choices available to users apart from testing the resiliency of the CBDC platform to handle multi-channel transactions. Necessary changes will be made to the system to facilitate this,”.
FAQ
Ques: What is CBDC ?
Ans: CBDC stands for Central Banks Digital Currency, which is a digital version of India’s fiat currency that is Rupee. Regulated by RBI like the fiat, it is a legal tender for monetary transactions.
Ques: When was CBDC launched?
Ans: It was launched by RBI on December 1, 2022, launched in 13 banks as a pilot project.
