The Reserve Bank of New Zealand has announced the start of public hearings on a national digital currency (CBDC). The discussion should last from April 17 to July 26, 2024.

The Central Bank expects the digital New Zealand dollar to change the monetary system by introducing a digital version of cash. The popularity of government stablecoins is growing all over the world – many central banks are conducting research on this topic, actively testing CBDC, and some central banks have already launched their own digital currencies.

The Reserve Bank is ready to introduce a digital New Zealand dollar, providing citizens with flexible payment options. Not only individuals, but also legal entities will be able to access the government-backed digital currency. Unlike traditional payment methods, the digital dollar will not require opening an account with a commercial bank, and CBDC users can count on confidentiality, the Central Bank promises.

During public hearings, interested parties will be able to send their ideas and comments to the regulator, which officials promise to take into account when developing a digital dollar. The government plans to reduce the use of paper money, but does not strive for completely cashless payments. The multi-stage study of the digital dollar will last until approximately 2030, the central bank specified.

Recently, New Zealand's Minister for Trade and Consumer Affairs, Andrew Bayly, called on the government to be more crypto-friendly so that the country could become a hub for the development of the crypto industry.