India: Published Concept Note on a Central Bank Digital Currency (CBDC) for India

On 7 October 2022, the Reserve Bank of India released a Concept Note on a Central Bank Digital Currency (CBDC) for India. The purpose of the document is to explain the objectives, benefits and risks of introducing a CBDC in India, called “e₹” (digital Rupee). The document provides key considerations on the use of technology, potential uses of the digital Rupee, and issuance mechanisms and examines the implications of introducing CBDC on India’s banking system, monetary policy, financial stability, and data privacy. The Reserve Bank plans to implement in the following months a pilot for the use of the digital Rupee.