Kazakhstan establishes regulatory agency for CBDC implementation
The National Bank of Kazakhstan (NBK) has established a new separate entity aimed at running the development and implementation of the digital tenge. According to the NBK’s official report, this entity, known as the National Payment Corporation (NPC), will be formed by reorganising the existing Kazakhstan Center for Interbank Settlements.
Furthermore, the NPC will take on the responsibility of supervising the national payment system, including functions like money transfers, interbank clearing services, and remote digital identification.
Presently, the NBK’s Digital Tenge initiative is in its pilot phase, conducted within a closely monitored environment that involves real users and merchants. One of the main partners of the National Bank for the launch of the CBDC based on BNB Chain is the crypto exchange giant, Binance.
The National Bank of Kazakhstan’s initiative underscores the country’s commitment to embracing modern technological advancements in the realm of finance. The development and subsequent rollout of the digital tenge can have a positive impact on Kazakhstan’s financial infrastructure and facilitate streamlined international transactions for both citizens and businesses.
As per the NBK’s roadmap, the CBDC will be implemented in three stages by the end of 2025, with the completion of the first stage anticipated in 2023. This comprehensive plan emphasises the importance of engaging in extensive dialogues with key market participants, ensuring the successful realisation of this ambitious project.
National Bank of Kazakhstan has noted that the digital tenge will not completely replace existing payment methods but rather coexist alongside them. The digital tenge will enhance the accessibility of financial services, boost the efficiency of government expenditures, and pave the way for the development of innovative financial products.