The Reserve Bank of India (RBI) is shaking things up with its latest project! Eight banks have jumped on board with the central bank digital currencies project, and it was officially launched today. Deputy Governor T Sankar Rabi was all smiles as he addressed the media, giving the scoop on the pilot project which is currently covering five major cities: Mumbai, New Delhi, Bengaluru, Bhubaneswar, and Chandigarh.
With over 50,000 retail central bank digital currency (CBDC) users already on board, it’s safe to say that this new technology is quickly becoming the talk of the town. But don’t worry, the RBI is taking its time with deploying the digital rupee for retail use within the country. They want to make sure they fully understand all the nitty-gritty details before making any big decisions.
Introducing The Digital Rupee Pilot Program!
On December 1st, 2022, the Reserve Bank of India (RBI) added some digital sparkle to the mix with the launch of their digital rupee pilot program! This exciting new currency is being spread through eight banks that wanted to jump on the digital bandwagon, including the State Bank of India, ICICI Bank, Yes Bank, IDFC First Bank, Bank of Baroda, Union Bank of India, HDFC Bank, Kotak Mahindra Bank.
The RBI Monetary Policy Committee, led by the adventurous Governor Shaktikanta Das, gave the repo rate a little jolt with a 25 basis point hike to 6.5%. The press conference after the Monetary Policy Committee (MPC) meeting was filled with excitement and anticipation. The MPC, consisting of three RBI officials and three government-appointed external members, held a crucial meeting this week as it was their first policy stance of the year 2023 and just one week after the unveiling of the Union Budget 2023-24 by Finance Minister Nirmala Sitharaman.