CBDC transactions to exceed US$213 billion by 2030 - Juniper Research

KUALA LUMPUR, March 13 (Bernama) -- A new study from Juniper Research revealed that the value of payments via Central Bank Digital Currencies (CBDCs) will reach US$213 billion annually by 2030, up from just US$100 million in 2023. (US$1=RM4.51)

According to the foremost experts analysing the fintech & payments market, this radical growth of over 260,000 per cent reflects the early stage of the sector; currently limited to pilot projects.

The research found that by 2030, 92 per cent of the total value transacted via CBDCs will be paid domestically, reflecting a change from almost 100 per cent during current pilot stages, as of 2023.

In a statement, Juniper Research said, adoption will be driven by governments leveraging CBDCs to boost financial inclusion and increase control over how digital payments are made.

A digital coin issued by a central bank and pegged to the country’s fiat currency, CBDCs will improve access to digital payments, particularly in emerging economies, where mobile penetration is significantly higher than banking penetration.

Since CBDCs are issued by central banks, they will be closely targeted to domestic payment challenges initially, with cross-border payments coming later, as systems become established and links made between CBDCs used by individual countries.

The research also identified lack of commercial product development around CBDCs as a key limiting factor for the current market, with few well-defined platforms for central banks to leverage.

To enable the realisation of CBDCs’ potential, the research recommended prospective CBDC platform providers develop a full end-to-end solution, including wholesale capabilities, wallet provision and merchant acceptance.

-- BERNAMA