Retail CBDC a game-changer, should improve monetary transmission: SBI chief

Anonymity factor is critical for its acceptance, asserts Dinesh Khara

The central bank digital currency for the retail customers could be a game-changer and should ensure better monetary transmission, Dinesh Khara, chairman, State Bank of India, said on Friday.

On Thursday, the central bank launched the first phase of the pilot for CBDC- retail with four banks and in four cities. SBI was one of the four banks in the first phase. The pilot covers four cities in a closed user group (CUG) comprising participating customers and merchants.

“RBI’s pilot project on retail-CBDC is a game-changer with durable effects that should ensure better monetary transmission at much lesser costs,” Khara