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Investing.com – India’s Prime Minister – Narendra Modi – has shown interest in central bank digital currencies (CBDCs). He believes that they would energize the economy in the years to come.
Modi is looking forward to a CBDC
During his last appearance, the Prime Minister of India discussed central bank digital currencies and the benefits they could bring to the country’s monetary network.
According to him, the digital rupee will make online payments faster and safer. Moreover, they could revolutionize the fintech sector by creating new opportunities and strengthening the global economy:
“It will also facilitate the development of global digital payment systems.”
An interest in regulated cryptos
One of the reasons for the Indian leader’s infatuation with CBDCs is that they will be regulated. Not so long ago, he called for the establishment of global collaboration to regulate private cryptocurrencies.
Modi’s concerns were mostly about the . He assumed that many criminals would continue to use the main digital asset in their illicit activities without proper legislation.
“Cryptocurrencies are an example of the kind of challenges we face as a global family with a changing world order. To combat this, every nation, every global agency must take collective and synchronized action.”
Indian CBDC would be coming soon
Earlier this week, Nirmala Sitharaman – India’s finance minister – revealed that the central bank will introduce its CBDC in the next financial year. Like Modi, the politician expects the product to give a “big boost” to the local monetary system:
“Digital currency will also lead to a more efficient and less expensive money management system.”
In 2021, the Reserve Bank of India claimed that it would launch test programs to examine how a possible digital rupee would interact with the economy. Officials aimed to launch the experiment late last year, but ultimately delayed it to 2022.
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