TY - BOOK ID - 146595821 TI - How Should Central Banks Explore Central Bank Digital Currency? AU - Soderberg, Gabriel. AU - Bechara, Marianne. AU - Forte, Stephanie. AU - Kao, Kathleen. AU - Kiff, John. AU - Lannquist, Ashley. AU - Tourpe, Hervé. PY - 2023 SN - 9798400253805 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Banking KW - Banks and Banking KW - Banks and banking KW - Banks and banking, Central KW - Banks KW - Central Bank digital currencies KW - Clearinghouses KW - Commercial banks KW - Currencies KW - Depository Institutions KW - Distributed ledgers KW - Economic & financial crises & disasters KW - Economic sectors KW - Economics of specific sectors KW - Economics: General KW - Finance KW - Finance: General KW - Financial institutions KW - Financial markets KW - Financial services industry KW - General issues KW - Government and the Monetary System KW - Industries: Financial Services KW - Innovation KW - Intellectual Property Rights: General KW - Macroeconomics KW - Micro Finance Institutions KW - Monetary economics KW - Monetary Policy, Central Banking, and the Supply of Money and Credit: General KW - Monetary Systems KW - Money and Interest Rates: General KW - Money and Monetary Policy KW - Money KW - Mortgages KW - Payment Systems KW - Payment systems KW - Publicly Provided Goods: General KW - Regimes KW - Research and Development KW - Standards KW - Technological Change KW - Technological innovations KW - Technology UR - https://www.unicat.be/uniCat?func=search&query=sysid:146595821 AB - Digitalization of the economy provides both challenges and opportunities. Central banks should ensure that they have the capacity to continue to meet their policy objectives in the digital age. It is in this context that central bank digital currency (CBDC) should be evaluated. If designed appropriately, CBDCs could allow central banks to modernize payment systems and future-proof central bank money as the pace and shape of digitalization continues to evolve. However, the decision to proceed with CBDC exploration and an eventual launch would need to be jurisdiction specific, depending on the degree of digitalization of the economy, the legal and regulatory frameworks, and the central bank’s internal capacity. This paper proposes a dynamic decision-making framework under which the central bank can make decisions under uncertainty. A phased and iterative approach could allow central banks to adjust the pace, scale, and scope of their CBDC projects as the domestic and international environment changes. ER -