India Will Soon Test ‘E-Rupee’ Digital Currency

The Reserve Bank of India has proposed a phased pilot of its version of a CBDC. In what was published as a "concept note," India’s central bank outlined its vision for a digital version of the rupee, referred to as the e-rupee. It also explained its rationale for implementing a CBDC and how it would be tested in distinct phases. "Currently, we are at the forefront of a watershed movement in the evolution of currency that will decisively change the very nature of money and its functions," the paper states. "CBDCs are being seen as a promising invention and as the next step in the evolutionary progression of sovereign currency." The RBI plans on rolling out the e-rupee in limited pilot launches, with the intent of implementing it as an additional form of currency issued alongside paper money. The paper states the e-rupee will also serve as an alternative to cryptocurrencies.