 Additional Director of the Digital Financial Services Group){kind=link}
Pakistan’s State Bank hopes to introduce a digital currency similar to cryptocurrencies like Bitcoin. It has made major strides in the field of digital banking.
Pakistan Central Bank Launch Digital Currency: The SBP Additional Director of the Digital Financial Services Group, Shoukat Bizinjo, revealed that many central banks around the world, including Pakistan’s, are looking into CBBCs (callable bull/bear contracts) as a viable route for introducing digital currencies.
During the 16th International Conference on Mobile Commerce 2023 at Total Communications, Bizinjo stated, “The SBP is currently reviewing and consulting with other central banks about CBBCs and digital currency.”
CBBCs are investment products that mirror the performance of underlying assets without requiring investors to pay the entire ownership cost of those assets, according to a press statement from TC.
Additionally, Bizinjo disclosed that the SBP is speaking with local industry players about introducing digital money in Pakistan.
Additionally, he highlighted the advancements achieved by Electronic Money Institutions (EMIs) in e-banking. E-money wallets for consumers and businesses and other digital payment instruments, including prepaid cards and contactless payment options, have all been effectively introduced by EMIs.
Four functioning commercial EMIs are in Pakistan: NayaPak, Finja, CMPECC, and Sada Tech Pakistan. According to Bizinjo, as of March 31, 2023, these EMIs jointly held a balance of Rs 2 billion in electronic money and were in charge of 2.4 million payment cards and 1.6 million electronic wallets.
Approximately 12 EMIs, he continued, are in various stages of getting licenses from the central bank, while several other businesses are constantly in contact with the SBP to become authorized EMIs.