Is Oman Launching A Digital Currency?
-
Roshan Amiri
- . February 22, 2023
- . Update: February 22, 2023 10:43 pm
Yes, Oman is developing its first digital currency. This follows severe cautions to stay clear of cryptocurrencies in general for its citizens.
The CEO of the Central Bank of Oman is Oman Taher bin Salem al-Omari. He has declared that work is still being done on an omani digital money. The declaration was made in Muscat at the start of the “New Era of Banking” conference.
Al-Omari emphasized that the CBO is dedicated to offering creative assistance and services that would modernize the financial industry while simultaneously preserving financial stability.
Cryptocurrencies have raised questions and raised suspicions in Oman. They are cited for a variety of reasons, including their high risk of fluctuating value and worries about their usage in cybercrime and piracy. Yet recently, with the advancement of digital technology in the Gulf, this has altered.
Innovative Technologies
To address cybersecurity problems, the CBO CEO emphasized the value of investing in cutting-edge technologies and human resources.
Al-Omari claimed that technological advancements have caused a significant shift in the financial services industry in terms of both services and product design.
This is especially true now that the COVID-19 epidemic has expedited digital change, particularly in payment and settlement systems.
In Oman, point-of-sale transactions are thought to have gone up from 24 million to 115 million over the previous five years.
At the same time, the number of e-commerce transactions climbed from 32 million at the end of 2021 to 0.3 percent in 2017.
Digital Currency Launch
World-wide, a sizable number of central banks are seeking to launch their own digital currencies.
The usage of blockchain technology has been accepted in the nation, despite warnings from the authorities that individuals should exercise caution while using cryptocurrencies.
In order to facilitate quicker and more affordable cross-border transfers to India, Dhofar Bank, one of Oman’s largest banks, has previously tested with Blockchain technology utilizing Ripple’s RippleNet platform.
The ability to integrate underbanked areas into the financial system is a major motivator for central banks in emerging nations to build CBDCs. Also, it might decrease the cost and expedite payments.
