UAE central bank joins the CBDC race as it looks to launch its national digital currency.

United Arab Emirates' central bank has joined the CBDC race as the country plans to launch its central bank-backed digital currency.

The United Arab Emirates is looking to spearhead the march into a bold new world of central bank digital currencies (CBDCs). In a recently-launched roadmap, UAE’s central bank revealed its ambition to become one of the world’s top ten banks, and it believes a CBDC will play a significant role in its ambitious goal. The UAE has cemented its position as the Middle East’s leading hub for innovations.

 

UAE is looking to benefit from CBDC.

In recent times, Dubai has become a global business hub and continues to attract leading multinationals. UAE is seeking to transition its leadership to a global level, and according to a report by Gulf News, a CBDC might prove critical for the oil-rich country. According to the 2023-2026 roadmap, the Central Bank of the UAE (CBUAE) has identified seven areas that it will focus on as it seeks to join the U.S., China, Japan, and Germany at the upper echelons of global finance.

 

UAE’s central bank has been working in a joint CBDC venture with Thailand, Hong Kong, and China.

UAE’s central bank is no stranger to CBDCs and has been working in a joint CBDC venture with Thailand, Hong Kong, and China for months now. As reported earlier, the UAE and China joined Project Inthanon-LionRock this year, but Hong Kong and Thailand had been working on it since 2019. The four countries are hoping to set the stage for other central banks in Asia to explore DLT and CBDCs. Earlier, Bank for International Settlements revealed in a report that CBDCs could be beneficial for countries. Other global financial regulators have also expressed positive opinions on CBDCs. 

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Jai Pratap
Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

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