Brazil to roll out digital real by end-2022

The Central Bank of Brazil announced the completion of the development of the digital currency (CBDC) by the end of 2022. This was stated by regulator head Roberto Campos Neto, Finance Magnates reports citing local media.

According to Neto, the central bank has already taken steps to modernise the financial system — beginning development of the PIX instant-payment system and implementing remote servicing as part of the open banking initiative. The next evolutionary step, in his view, will be the issuance of a CBDC.

The PIX system, enabling peer-to-peer and B2B transactions via smartphones, online banking, and ATMs, is expected to launch in November.

“A digital currency requires an efficient and compatible instant payments system, and money that is trusted, convertible and international. CBDC is simply a new form of presenting a currency already issued by the central bank,” explained Campos Neto.

In August the regulator created an interagency group of 12 specialists that will study the economic as well as social risks and benefits of issuing a CBDC.

The specialists will prepare a report on their work within 6–12 months.

More on CBDC in a special feature ForkLog.

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