TO GET INSIGHT INTO ISSUANCE MOTIVATIONS BEHIND INTRODUCING CBDC IN INDIA

Megha Garg; Parveen Kumar

doi:10.55955/220008

Authors

Ms. Megha Garg J.C. Bose University of Science & Technology, YMCA https://orcid.org/0000-0002-0616-233X
Dr. Parveen Kumar J.C. Bose University of Science & Technology https://orcid.org/0000-0001-9317-0161

DOI:

https://doi.org/10.55955/220008

Keywords:

Blockchain technology, CBDC, Digital Currency, Financial Inclusion, Financial innovation, Digital rupee

Abstract

The era of information and communication technologies has produced numerous opportunities in every field. Finance and business sector is most benefitted field from these recent developments. The spotlight quickly shifted from "Fintech," which emerged in the last ten years, to "crypto currency," then to "CBDC," demonstrating that how quickly the world of digital finance is changing. CBDC is similar to blockchain technology but is controlled and regulated by Reserve Bank of India (RBI). The pilot study of retail segment of CBDC has commenced from the beginning of December 01, 2022. This paper made an attempt to delve into the understanding of Central Bank Digital Currency and to probe the motives behind the issuance of CBDC. RBI is currently working toward a phased deployment plan, progressing gradually through several rounds of pilots before the final launch and concurrently looking at use cases that might be adopted with little to no impact.

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