The Digital Rupee (eâ1) will start pilot launches for certain use cases on November 1, 2022, according to an announcement from the Reserve Bank of India (RBI). The first Digital Rupee experiment will start on Tuesday and will be in the Wholesale segment (eâ1-W), according to the notification.
Nine banks, including State Bank of India, Bank of Baroda, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Yes Bank, IDFC First Bank, and HSBC, will also participate in the trial. “This pilot’s use case is the settlement of secondary market transactions in government securities. The use of eâ1-W is expected to improve the efficiency of the interbank market ” The RBI stated in a formal statement. Additionally, it was argued that using central bank funds would save money by doing away with the requirement for infrastructure or collateral to reduce settlement risk.