RBI outlines possible timeline for CBDC testing

The Reserve Bank of India (RBI) could launch the first pilot programs for the national digital currency (CBDC) by December. This was stated by RBI Governor Shaktikanta Das in an interview with CNBC.

“We are extremely cautious about this, as it is a completely new product not only for the RBI but for the entire world,” he noted.

According to Das, the central bank is examining various aspects of the digital currency, including its security, potential impact on the financial sector, monetary policy, and cash circulation.

Regarding the technical side of the project, the RBI governor said there is a choice between centralized and decentralized ledger technologies.

“I think that by the end of the year we will be able — perhaps ready — to begin the first trials,” Das said.

Earlier in March 2021, RBI researchers completed a study in which identified the pros and cons of the digital currency.

In July, Das’s deputy clarified that the central bank is developing a phased rollout strategy for CBDC.