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Assessing the Role of Public-Private Partnership in the Deployment of Central Bank Digital Currencies (CBDCs)
Abstract
As digitisation transforms the financial environment, central banks are introducing digital currencies. However, CBDC provision involves a wide range of complicated challenges, including technology developments, legal frameworks, and market dynamics. Public-private partnerships have emerged as a potential approach to provide CBDCs in this regard, using the capabilities of both sectors to achieve mutual goals. This chapter critically analyse public-private partnerships in CBDCs, providing a comprehensive understanding of CBDC partnerships by exploring various CBDCs models, their design and features, as well as the major problems in designing and implementing CBDCs. This study uses a mixed method approach of data collection and analysis to gather information on PPP in CBDC. The survey demonstrates that stakeholders across sectors agree on the significance of legal frameworks, security standards, and collaboration among government agencies, although there are slight differences in their focus on technological infrastructure, innovation, and public awareness.
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