The Bank of Jamaica has partnered with eCurrency Mint, an Ireland-based firm, to pilot its central bank digital currency (CBDC) project. The digital currency project will commence between May and December of this year. The Bank of Jamacia was looking for a technology partner to commence its CBDC pilot in 2021. While inviting applications, it touted the potential of the CBDC, claiming it would increase financial inclusion through ‘efficient and secured payments.’
eCurrency Mint will support the central bank in testing the CBDC.
According to a press release published by the Bank of Jamaica on March 23, “After an extensive procurement process, eCurrency Mint has chosen to support us in testing the CBDC solution in the Bank’s Fintech Regulatory Sandbox between May and December 2021. eCurrency Mint will also be the provider when the national CBDC roll-out begins in early 2022.” The project will allow the bank to test the CBDC for viability “while ensuring adequate consumer protection and data privacy before any introduction; to the Jamaican economy.”
Central banks continue to explore CBDCs.
eCurrency Mint has partnered with several institutions, including the Bank of Ireland, Swiss Re, billionaire Ray Dalio’s charity, and Deloitte, to participate in different CBDC development projects. Jonathan Dharmapalan, a former partner at Ernst & Young and Deloitte, heads this firm. The Bank of Jamacia’s announcement comes two weeks after Minister of Finance Nigel Clarke announced the complete launch of the CBDC would happen in 2022. Clarke said a digital fiat currency would be critical in the government’s effort to digitize the Jamaican economy while addressing the parliament. Central banks around the world are currently exploring CBDCs in different capacities. The People’s Bank of Chain has already conducted several successful trials of digital yuan.