Kazakhstan will continue to study the issues of risks for monetary policy and financial stability within the framework of the Digital Tenge project, the Kazakh National Bank told NewsGrabb.
According to banks’ representatives, National Bank is building and developing a national payment system in such a way that all participants in payment turnover can get access to inexpensive, fast, convenient, and secure payments.
"Purpose of Digital Tenge project is to further develop and modernize, adapt the national payment system of Kazakhstan to new external challenges," the National Bank noted.
Therefore, it is assumed that the Digital Tenge infrastructure will become an additional tool for financial market participants, using which they will be able to create innovative services.
In addition, the digital currency will give a new impetus to the development of public services, ensure further growth in the penetration of digital payments in the regions and increase the availability of financial services.
According to National Bank, the introduction of Digital Tenge will be able to reduce costs and increase the efficiency of cross-border payments in the future.
"Some three stages of the life cycle of Kazakh National Bank digital currency have already been tested, as part of a pilot project to create a digital tenge, namely: emission, distribution and circulation,” the bank said.
“In particular, scenarios for conducting a variety of financial transactions have been developed and tested - from opening special electronic wallets in banks to offline payments and integration with external participants," National Bank noted.
According to the bank, digital tenge as a new, third form of the national currency, should only contribute to the improvement of the financial infrastructure of Kazakhstan, taking into account the needs of all participants in country's monetary system.