Preparing for the Future of Central Bank Digital Money in Türkiye

Abstract

Developments in technology and the internet have led to the questioning of the current monetary system. This situation triggered studies on central bank digital money (CBDC). The rush to avoid being left behind in the system and the inevitable rise of other currencies gave rise to these currencies. CBDCs have been designed and piloted by an increasing number of countries for some time. Thus, its possible effects on the economy, monetary policies, and banks are observed. Türkiye is among the countries working on CBDC. In this study, the process of CBDCs, which are being prepared all over the world, in Türkiye is discussed. In the studies on CBDC, the stages that have been achieved, the current point and future plans are emphasized. As a result of the evaluations, it is thought that it is too early for CBDC to be issued in Türkiye. First of all, it is important to fully establish the necessary systemic infrastructure and administrative and legal framework so that these currencies can be released to the market. On the other hand, the outcomes of monetary policies should be followed carefully.