Digital currency has 50,000 users, 5,000 merchants: RBI

Mumbai, Feb 8, 2023

Synopsis
RBI said 50,000 users and 5,000 merchants are transacting through eight banks at present, and another five lenders are set to join soon. The pilot project started on December 1 has witnessed 7.70 lakh transactions, and is now being carried out in five cities, RBI said.

The recently launched retail central bank digital currency (CBDC) pilot has 50,000 users and 5,000 merchants, the RBI said on Wednesday. "We want the process to happen, but we want the process to happen gradually and slowly. We are in no hurry to make something happen so quickly," Deputy Governor T Rabi Sankar said at the post-policy press conference here.

"We have our targets in terms of users, in terms of merchants. We will go slowly," he added.

The RBI does not want to end up in a situation where it does something without actually understanding the likely impact or would always be desiring to be in a position where it can manage the fallout, Sankar said.

He said 50,000 users and 5,000 merchants are transacting through eight banks at present, and another five lenders are set to join soon.

The pilot project started on December 1 has witnessed 7.70 lakh transactions, and is now being carried out in five cities, he said.

There are plans to add nine more cities to the list, Sankar said, reiterating that the same will be gradual.

India is among the few nations among the 100 countries mulling to introduce digital versions of fiat currencies called the CBDCs.

Before the retail CBDC, the RBI had started the wholesale CBDC pilot last year.

[The Economic Times]