The Bank of Indonesia has reportedly hopped on the CBDC train, becoming the most recent global central bank to initiate state digital currency plans, during a significant surge in local digital payments. 

Specifically, Governor Perry Warjiyo reportedly shared that Indonesia’s central bank is having plans down its pipeline to roll out a digital rupiah currency, functioning as a means of payment throughout the nation. 

The official noted that the rupiah will reportedly be the sole currency receiving regulatory greenlight for supporting payment in the nation so far, and BI will be working on the regulation of the rupiah, in a similar manner to cash and card-based transactions regulation. 

BI is reported, at the moment, deep-diving into the possible advantages of a digital rupiah, nominally its effect on monetary policy and payment networks, together with running evaluations for the readiness of the financial infrastructure.

The bank is reportedly also carrying out assessments of potential technology selections, regarding the design of a central bank digital currency. The precise timeline dedicated to the digital rupiah development has not been disclosed yet. 

BI will reportedly be finalizing its decision on the issuance of a digital rupiah in the foreseeable future, once required preparations are in place, since it is still putting extensive resources towards digital transformation as part of Indonesia payment systems blueprint 2025”. 

Indonesia reportedly established its presence in the global CBDC race as a response to a significant spike in digital banking, where digital transaction frequency experienced a climb of more than 60% on a yearly basis. 

Previously, Indonesian financial officials reportedly disclosed details of possible tax schemes for crypto-generated capital gains.