Lebanon To Launch CBDC In 2021
- The governor of Lebanon’s central bank has said that a CBDC can help the country move to a “cashless system”, stimulating the flow of money both locally and abroad.
- The bank is hoping that the new CBDC will help restore confidence in Lebanon’s shaky banking sector.
Lebanese people protest against the current government, and against corruption in the country in Beirut, Lebanon on October 19, 2019. Shutterstock
The governor of Lebanon’s central bank has revealed the country is preparing to launch a Central Bank Digital Currency (CBDC) in 2021, the state-run National News Agency reported on 10 November.
According to the publication, the governor of Banque Du Liban, Riad Salameh, told a gathering of officials that the CBDC project was part of a broader effort to restore confidence in the country’s banking sector, which is facing an economic and financial crisis. Salameh further stressed that the project will help the country move to a “cashless system”, which will stimulate the flow of money both locally and abroad.
Such a system will greatly benefit the country, considering that in 2019, 14% of the Lebanese gross domestic product was represented by personal remittances, which was as high as 26% in 2004. Salameh has been in support of creating such a project as early as 2017, when he promoted the creation of a digital currency during his speech at the “Third Forum to Combat Cybercrime”.
While the CBDC idea has been thrown around for a while, Lebanon seems to have accelerated its development efforts earlier this year, when protests brought the country’s financial system to a halt. Back in June, protesters were able to force their way into the country’s central bank in Tripoli, and set the building on fire. The event showed the anger of the country’s population over the collapse of the lira, which has been losing value against the dollar for months .
- The head of China’s central bank digital currency institute said the e-CNY has undergone a major upgrade, and should be made available as an option in all retail scenarios.
- The PBOC official noted that platforms can integrate the CBDC in the short term using QR codes, and focus on upgrading their payment tools in the long run.
Office building of the People’s Bank of China. Flickr
- The current governor of Florida, Ron DeSantis, announced he is joining the race for the 47th president of the U.S. during a Twitter Spaces event on Wednesday.
- During his speech DeSantis declared his support for Bitcoin and the wider crypto space, noting that if Joe Biden is re-elected “they’ll probably end up killing it”.
- Planned for 1 April, the CBDC trial will involve real consumers and real transactions, though they will be limited to a certain number of customers and transfers.
- The pilot, however, will not be opened to the general public in its first phase, and will only be opened to customers chosen by the 13 participating local banks.