2022-01: CENTRAL BANK DIGITAL CURRENCIES (CBDCs) The coming of national e-currencies

Central Bank Digital Currencies (CBDCs) offer a new form of digital money, with many national monetary authorities exploring the concept and running pilot projects. CBDCs potentially offer speed, efficiency, reduced costs, security, and better implementation of monetary policy, all encouraging the digital economy. However, challenges in establishing the currencies are significant, not least in the context of foreign exchange transactions. Despite these challenges, we expect the widespread use of CBDCs may come sooner than many think.