Central Bank of the Philippines to launch CBDC research efforts

The Bangko Sentral ng Pilipinas, the central bank of the Philippines, intends to advance a research project focused on central bank digital currencies.

In speeches released on March 4 and February 28, Governor Benjamin Diokno discussed the central bank’s digital plans and highlighted the so-called “CBDC-Ph project.” Dionko described the work as a “BSP pilot project to build organizational capacity and practical knowledge of CBDC design, architecture, technology and policy implications.”

In its 2020 Overview of Central Bank Digital Currencies, the BSP said it would conduct more in-depth research in this area.

As for whether the country will move forward with its own digital currency, it is less clear. In a recent interview, Dionko said that the BSP “has no plans to introduce a CBDC in the near term, mainly because the population is still heavily cash-dependent given the country’s efficient and effective payment and settlement systems.”