'CBDC on hold' Norges Bank…"Low necessity for short-term adoption"

Norges Bank has expressed the view that there is little need to introduce a central bank digital currency (CBDC).

Ida Wolden Bache, governor of Norges Bank, said on the 10th (local time), "We have concluded that the introduction of a CBDC is not necessary at present." Bache added, "(However) the need for a CBDC may increase in the future," and said, "If a CBDC becomes necessary to maintain an efficient and secure payment system, we are ready to introduce it at any time."

Norges Bank recently put plans to introduce a CBDC on hold. The bank said that while a CBDC could modernize interbank payments in the long term, concrete benefits have not yet been demonstrated and infrastructure or industry standards for immediate adoption are lacking. Norges Bank said, "Many central banks are researching CBDCs, but commercial information technology (IT) systems or standards do not yet exist," and added, "If other central banks adopt CBDCs, infrastructure cooperation could become possible."

Meanwhile, the European Central Bank (ECB) is accelerating CBDC adoption. The ECB plans to start a CBDC pilot as early as 2027. If the pilot proceeds as scheduled, the ECB's first CBDC is expected to be issued in 2029.