Bangladesh Bank to carry out study for rolling out digital currency

The Bangladesh Bank will conduct a feasibility study on the possibility of introducing a Central Bank Digital Currency (CDBC) in Bangladesh, said Finance Minister AHM Mustafa Kamal in his budget speech today. 

The main purpose of the CDBC is to facilitate currency in virtual transactions and encourage startups and e-commerce businesses.

As the risky use of virtual currencies such as cryptocurrencies continues to grow worldwide, many central banks are working to launch digital versions of their currencies as an alternative to cryptocurrencies, Kamal said.

In recent years, Bangladesh has made great strides in the area of expanding the use of internet. As a result, e-commerce has increased tremendously.

In this context, the central bank will conduct a feasibility study on the possibility of rolling out a CDBC.