Jamaica, according to the prime minister 70% of the population will adopt the CBDC

The central bank of Jamaica successfully completed its first digital currency pilot test (CBDC) in early January. After testing, Prime Minister Andrew Holness predicted that the majority of the Jamaican population would be ready to adopt the digital currency, with more than 70% using CBDC within five years.

The Jamaican prime minister highlighted the reduction in banking costs and the inclusiveness of the CBDC in an interview with Bloomberg, adding that the digital currency would ensure greater government accountability thanks to easier monitoring of public resources. While acknowledging the initial challenges of a national launch of the CBDC, which is set for the first quarter of 2022, Holness added that the government must "figure out how to give people access to digital devices and the Internet in general."

The Bank of Jamaica, the country's central bank, has pioneered CBDC efforts with one of the world's first completed national pilot projects. After partnering with Irish crypto firm eCurrency Mint in March 2021, the central bank conducted an eight-month pilot project. As reported by Cointelegraph, the bank has minted CBDC 230 million Jamaican dollars for issuance to authorized depository institutions and payment service providers. The BoJ then issued 1 million JMDs in CBDC to BoJ banking department staff and another 5 million JMDs to the National Commercial Bank, one of the country's leading financial institutions.

BoJ aims to add two new wallet providers to its CBDC, followed by a nationwide launch in the first quarter of this year. The central bank also plans to focus on interoperability by testing transactions between clients of different wallet providers.

by Alessandro Crea

Wednesday 19 January 2022 12:00


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