RBI’s E-Rupee To Offer Discounts & Incentives

The Reserve Bank of India (RBI) wants to expand the ongoing pilot of the Central Bank Digital Currency (CBDC) and incorporate various use cases and features in 2023–24. In its annual report for 2022–2023, the central bank said, "During 2023–24, the Reserve Bank aims at expanding the ongoing pilots in CBDC–retail and CBDC–wholesale by incorporating various use cases and features. Touted as the e-Rupee or Digital Rupee, the RBI CBDC is an electronic form of sovereign currency. The central bank proposed to issue two versions of the Digital rupee: CBDC-Wholesale (CBDC-W) and CBDC-Retail (CBDC-R). CBDC-Wholesale is designed for restricted access to select financial institutions, while CBDC-Retail can be used by all, including the private sector, non-financial consumers, and businesses. The CBDC, in partnership with the NPCI, shall accept UPI codes to process payments. In the backdrop of the G20's 3rd FMCBGs meeting in Gandhinagar, Business Today’s Karishma Asoodani speaks with Dinesh Kumar from SBI’s Transaction Banking team on the plan of action.