In a virtual conference, the Governor of the Philippines central bank, Bejamin E. Diokno, made a statement that the Philippine central bank now has a working group that is indeed tasked with exploring the Central Bank Digital Currency (CBDC).
“We have just formed a technical working group to study the feasibility and implications of the central bank’s digital currency issuance policy.”
“Before we decide whether to issue the central bank’s digital currency or not, we must first look at the findings of the newly formed technical work team,” said the Governor of the Philippine central bank, Benjamin E. Diokno.
He hopes that the report from the work team can be received next month. In the virtual conference, he also responded about cryptocurrency and CBDC.
Where, he explained that cryptocurrency does not affect the demand of physical currencies, because cryptocurrency is always considered to be outside of the asset itself. But the blockchain continues to attract interest in helping the revolution in the delivery of financial services by providing secure, efficient and robust payment methods.
In addition, on another speech (29/7), Benjamin E. Diokno also highlighted the importance of digital payments at Covid-19. In the first 5 months of this year, digital payment transactions have increased in two national payment networks in the Philippines, PESONET and InstaPay. Both digital payments increased by 70% for transaction volume and 42% for the nominal amount transacted.
By 2023 even faster, digital transactions can reach half of the target transaction volume and also the non-maximum number in the Philippines. As is known, recently bond sales in the Philippines were encouraged to be distributed with a blockchain application that is connected to the Philippines’ national digital payment service. This is thanks to the cooperation that exists between the Philippine government and UnionBank in transforming digital finance there.
Even in the near future the G7 meeting was encouraged by Japan to add discussion on the topic of the CBDC. Because, Japan has also formed a CBDC working group to conduct due diligence and exploration as input for the Japanese central bank.