Central Bank Digital Currency (CBDC) is a sovereign digital form of money issued by central banks to complement physical cash and existing digital payment systems. It aims to enhance payment efficiency, financial inclusion, monetary sovereignty, and cross-border transactions while offering a safer alternative to private digital currencies. However, challenges related to cybersecurity, privacy, banking stability, and interoperability necessitate a cautious, phased, and well-regulated implementation supported by strong domestic and international coordination.
Click to View MoreThe Reserve Bank of India (RBI) is promoting the adoption of Central Bank Digital Currency (CBDC) over Stablecoins to ensure monetary stability and reduce risks of dollarisation. CBDCs, being sovereign digital money, offer secure and efficient payment systems, while privately issued Stablecoins pose regulatory and financial challenges. India’s Digital Rupee pilot projects—both retail and wholesale—are progressing steadily, aligning with global trends where over 130 countries are exploring CBDCs. The way forward lies in strong regulation, international coordination, and technological innovation to balance financial security and digital transformation.
Click to View MoreIndia’s UPI expands to Qatar via Qatar National Bank and Qatar Duty Free, enabling seamless, real-time payments for Indian travelers. Driven by NPCI International, it boosts tourism, retail, and bilateral ties, showcasing India’s digital strength and advancing global payment interoperability.
Click to View More
© 2026 iasgyan. All right reserved