Ukraine's National Bank exploring possibility of issuing e-hryvnia.

Some 80% of the world's central banks today are working on digital currency, the official says.

REUTERS

REUTERS

Governor of the National Bank of Ukraine (NBU) Yakiv Smolii says the regulator continues to explore the possibility of issuing its own digital currency, e-hryvnia, and will be ready to implement the project after it is confident in technological readiness and the absence of threats to the country's price and financial stability.

"We continue to look into the chance of issuing the e-hryvnia, and we will be ready to return to this matter when we are convinced that not only can it be technologically feasible, but also that it will not interfere with the pursuit of our mandate as a central bank, which is to ensure price and financial stability," he said at the NBU International Conference "Central Bank Digital Currencies: New Opportunities for Payments" on February 21.

Read alsoNBU strengthens official hryvnia to UAH 24.48 to U.S. dollar on Feb 21

According to Smolii, 80% of the world's central banks today are working on digital currency as this helps to strengthen confidence in the national currency and reduce the amount of cash in circulation.

The official noted that digital currency for citizens means an analogue of an account directly in a central bank rather than in a commercial one.

At the same time, he admitted risks to financial stability, including the possibility of the flow of money from banks to digital currencies amid crisis.

As UNIAN reported earlier, in late 2016, the National Bank launched a research project to implement e-hryvnia, a blockchain-based national currency, which could minimize transaction costs in money transfers from one participant in Ukraine's payment market to another, which could be carried out almost instantly.

Earlier, e-hryvnias in the equivalent of UAH 50,000 (US$2,042), which have now been redeemed already, were put into circulation as part of testing transactions between electronic wallets.

Related news

NBU buys $64 mln in interbank FX market on Tuesday

The National Bank of Ukraine (NBU) on Tuesday bought $64 million in the interbank foreign exchange market to smooth out excessive exchange rate fluctuations, while on Monday the central bank did not enter the market with interventions.

RFE/RL: Poland state gas distributor says it wins $1.

A subsidiary of Gazprom said that it had received the Stockholm arbitration ruling and was analyzing it.

Coronavirus pandemic can help Ukraine boost agricultural exports - trade representative.

The coronavirus pandemic has a negative impact on industrial production, but the demand for food products is growing so Ukraine has good potential to increase exports of agricultural products.

1 1

Ukraine's banking system almost doubles its profit

Banks' income for this period increased by 18%.

Economic Development Ministry creates working group to implement land market law.

The Economic Development, Trade and Agriculture Ministry of Ukraine sets up a working group to implement the Law of Ukraine "On Amendments to Certain Legislative Acts of Ukraine on the Circulation of Agricultural Land", according to which the land...

By continuing to browse World News (UAZMI), you acknowledge that you have read the Terms of Use and agree to the use of cookies