RBA finds digital currencies interesting but not urgent
The Reserve Bank's report on its central bank digital currency pilots reinforces the bank's view that there is no immediate need for action
The Reserve Bank’s media release and report on its central bank digital currency (CBDC) pilot program, released Wednesday, tells you there will be no central bank crypto in Australia in the near future. That pretty much confirms the RBA’s established line as CBDCs took off around the world in the last couple of years.
RBA Assistant Governor (Financial System) Brad Jones said “the project yielded valuable insights into how a CBDC, alongside other innovations in digital money, could potentially unlock benefits for the Australian financial system and the wider economy.”
Andreas Furche, the chief executive of the Digital Finance Cooperative Research Centre (DFCRC) which coordinated the pilots, said “the report underscores that innovation in finance is a continuous journey" and flagged more research on whether CBDC's could be used "to provide an infrastructure layer for further innovation in financial products and services”.
Anti-climactic, yes. We clearly won’t be following the Caribbean (where CDBC's are widespread) any time soon. But it's also testimony to the sophistication and resilience of Australia’s payment system, which already offers real time payments and digital options that cover almost every need.
