The Central Bank of Jamaica invites technology companies to test CBDC in the regulatory sandbox

The Central Bank of Jamaica invites technology solution providers to develop and test central bank digital currency (CBDC) solutions in its recently established regulatory sandbox. The sandbox provides a controlled environment in which innovations in financial technologies such as CBDC can be tested for feasibility, and at the same time ensure adequate protection and data privacy for consumers before introducing the Jamaican economy. The Central Bank of Jamaica stated that if the solution is adopted and introduced, CBDC will increase financial inclusion for Jamaican citizens, businesses and the government because it will provide another effective and safe payment method. For deposit-taking institutions, CBDC provides an opportunity to improve cash management processes and costs. The central bank wants to assure the public that it will continue to issue banknotes and coins to promote all economic activities.