India’s Finance Minister: digital rupee may appear in the 2022-2023 fiscal year

Nirmala Sitharaman expressed confidence that CBDC will help in the development of the country’s digital economy

01.02.2022 - 11:50

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What’s new? Indian Finance Minister Nirmala Sitharaman has stated that India will introduce a central bank digital currency, a digital rupee, in the 2022-2023 financial year. This is reported by The Economic Times.

Information on The Economic Times website

What does the Finance Minister say? Sitharaman expressed confidence that CBDC will help in the development of the country’s digital economy. However, she added that the Ministry of Finance will take care of the attendant risks that may arise during the CBDC implementation stages. She added:

“Introduction of a central bank digital currency will a big boost to the digital economy. Digital currency will also lead to a more efficient and cheaper currency management system.”

What are the prospects of introducing a digital currency? The creation of a CBDC means that India will have clear and more advanced cryptocurrency rules by the next financial year. Speaking in India’s lower house of parliament, the Finance Minister commented on the situation:

“The purpose of creating a digital currency is to provide significant benefits, such as reduced dependency on cash, higher seigniorage due to lower transaction costs.”

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