Going public: Central banks’ digital currency ambitions

En bref

A few small central banks have already launched a digital currency (CBDC) and almost nine in ten globally are at least considering its issuance. The ECB has kicked off an investigation phase in July.
Focal Point

Highlights:

  • A few small central banks have already launched a digital currency (CBDC) and almost nine in ten globally are at least considering its issuance. The ECB has kicked off an investigation phase in July.
  • A key aim is maintaining monetary sovereignty and limiting systemic risks amid the rise of private digital money and declining cash transactions. CBDCs may also enhance transaction efficiency and financial inclusion.
  • Most central banks will tread carefully in launching CBDCs, addressing security risks and adverse impacts on banks.
  • A CBDC open to the general public with accounts intermediated by commercial banks will rank highest in a wide range of options. Account caps or tiered penalty interest rates will at least initially serve to avoid deposit drains at commercial banks.
  • Longer term, a full digital replacement of cash would allow policy makers to sharpen their tools. It would e.g. enable central banks to impose negative rates on all cash and deposits. Governments may deploy fiscal transfers faster while constraining the timing and scope of their use via programmable CBDCs.

Read the full publication below

Also interesting

Picture

© Generali Investments, tous droits réservés. Ce site internet est publié par Generali Investments et est considéré comme une communication marketing et une promotion financière liée aux produits et services des sociétés du groupe Generali suivantes : Generali Investments Partners S.p.A. Società di gestione del risparmio, Generali Insurance Asset Management S.p.A. Società di gestione del risparmio, Generali Investments Luxembourg S.A. et Generali Investments Holding S.p.A. (ci-après dénommées ensemble Generali Investments). En outre, le site peut contenir des communications de marketing et de promotion financière de produits et services de sociétés faisant partie de la plate-forme Multi-Boutiques coordonnée par Generali Investments Partners S.p.A. Società di gestione del risparmio, et en particulier de Generali Global Infrastructure, Sycomore Asset Management, Aperture Investors LLC, Plenisfer Investments SGR, Lumyna Investments et Generali Real Estate S.p.A. Società di Gestione del Risparmio.