Over Half of Central Banks Plan to Launch CBDCs Within 5 Years

According to a survey by the Official Monetary and Financial Institutions Forum (OMFIF), more than 50% of central banks plan to issue a central bank digital currency (CBDC) within the next five years. Meanwhile, one-third of central banks postponed CBDC plans due to regulatory challenges and changing economic conditions.

The study, conducted by the OMFIF in collaboration with Giesecke+Devrient, found that 34% of central bank representatives intend to launch a CBDC within the next three–five years, while 18% are already prepared or plan to issue one within a year or two. In comparison, this figure was 38% in 2022. However, the share of regulators who are less inclined to launch a CBDC rore from 0% to 15% since 2022, highlighting emerging challenges.

31% of surveyed banks delayed CBDC projects, citing regulatory, governance, and economic concerns that took priority over digital currency development. The survey gathered insights from representatives of 34 central banks worldwide.

One significant takeaway from the study is the declining impact of technical barriers on CBDC development. Last year, central banks reported concerns about privacy, cybersecurity, scalability, and payment system compatibility. However, in 2024, confidence in these areas significantly improved.

Despite this progress, user experience (UX) remains the biggest challenge. The number of central banks citing UX as a primary issue increased significantly compared to previous years. Experts believe this shift is due to the resolution of core technical issues, allowing regulators to focus on user adoption.

The survey also revealed differences in CBDC adoption motivations between developed and developing nations:

• 44% of central banks in developing countries cited financial inclusion as the primary reason for CBDC development;
• 50% of central banks in developed economies prioritized maintaining monetary sovereignty amid the digital transformation of payment systems.

A major focus in CBDC development is offline payments, which play a crucial role in financial inclusion, especially in regions with unstable internet access.

In December 2024, the OMFIF analysts reported that global banking institutions were working on optimizing cross-border payments. But the popularity of CBDCs in this context declined.