- 93% of the 86 central banks surveyed were working on CBDC projects.
- All the countries that have already issued CBDCs so far are developing countries.
As per a new survey, 15 retail and 9 wholesale central bank digital currencies (CBDCs) could be in circulation across the world by 2030.
The Bank for International Settlements (BIS) carried out a survey of 86 central banks in late 2022 regarding their involvement in CBDCs.
About 93% of the 86 central banks surveyed by BIS were working on CBDC projects, the survey reveals. Major economies such as India, the United Kingdom and European Union are considering creating digital versions of their currencies.
The number of jurisdictions surveyed represents 94% of global economic output. The report remarks that emerging nations are way ahead of established ones in both retail and wholesale CBDC pilots. As we saw the emergence of crypto assets and stablecoins, over 60% of surveyed banks have intensified their research in the project.
Wholesale CBDCs trail retail CBDCs
It’s clear that the work on retail CBDCs was more advanced. The number of central banks testing retail CBDCs was double the number piloting a wholesale trial, with only banks as participants. Around 18% of monetary authorities expect to issue a retail CBDC within the next three years.
According to the survey results, stablecoins and other crypto assets are rarely used for payments outside of the crypto ecosystem. The most common usages continue to be cross-border remittances and consumer purchases. The study reveals that central banks believe wholesale CBDCs could ease significant bottlenecks in cross-border payments.
All the countries that have already issued CBDCs, Bahamas, Eastern Caribbean, Jamaica, and Nigeria, are developing countries.
The issuance of a CBDC necessitates a legal framework that grants central banks with the legal authority to do so. In comparison to last year, the share of central banks with such a legal authority barely increased from 26% to 27%. About 8% of the surveyed jurisdictions are currently amending their laws to clarify the legal authority to allow for it.
