T Rabi Shankar, deputy governor of the Reserve Bank of India (RBI), stated in a news conference on Wednesday that the central bank is intending to deploy a central bank digital currency (CBDC) in stages this fiscal year.
India’s CBDC Fast facts
- According to the Economic Times, Sankar stated, “The process of [the] adoption of India’s CBDC would be gradual so that there is no interruption [to] the financial and banking sector.”
- In its annual 2021-2022 report, the RBI said that the digital rupee design must conform with India’s monetary policy and financial stability objectives while causing no disruption.
- Before the CBDC is implemented, proofs-of-concept and pilots will be conducted, according to the annual report.
- In the Finance Bill 2022, the RBI Act of 1934 was changed to establish the legal foundation for CBDC issuance.
Source: Yahoo Finance