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Thailand Already Using Central Bank's Digital Currency

Thailand's digital currency is backed by the central bank’s foreign currency reserves, which have grown by $25 billion over the past 12 months.

Par Paddy Baker
Mise à jour 14 sept. 2021, 9:32 a.m. Publié 17 juil. 2020, 10:29 a.m. Traduit par IA
Bangkok
Bangkok

A senior figure at the Bank of Thailand (BOT) has confirmed the bank is already using a central bank digital currency (CBDC) for transactions with some businesses.

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  • Vachira Arromdee, the central bank's assistant governor, told reporters Wednesday it planned to expand the use of the digital currency among large businesses The Nation reported.
  • It's unclear what businesses are already using the digital currency; transactions with the Hong Kong Monetary Authority will be conducted with the CBDC from September, Arromdee confirmed.
  • Thailand's CBDC is backed by the central bank's currency reserves; BOT data shows its foreign currency reserves have grown by more than $25 billion over the past 12 months.
  • Access to the general public, complete with a state-backed wallet provider, is currently under consideration.
  • Arromdee said the BOT recognized digital currencies could lower the costs of transactions but is also concerned about how that could disrupt the commercial banking sector.

See also: Thai Central Bank Taps Cement Company for First Digital Currency Payments

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