- Banco de España has released a strategic plan from 2020 to 2024 to outline its goals for the next four years.
- The ECB had recently published a report on the potential impact of a digital euro.
Spain’s central bank, Banco de España, has recently released its strategic plan from 2020 to 2024, outlining its goals for the next four years. Along with analyzing the impact of the European Central Bank’s policies and trends, the bank will be looking into a potential central bank digital currency (CBDC) implementation. The central bank will also study the effects of negative interest rates, COVID-related stresses on markets, etc.
Not much info on CBDCs
While the plan doesn't delve much into potential CBDC efforts, it does mention that research into it is a priority under the theme of "New technologies and Information Sources." As per the plan:
The implications for the financial system and the economy as a whole of the introduction of a central bank digital currency will be analyzed, considering various design proposals and including aspects relating to digital identification.
Pablo Hernández de Cos, the governor of the Central bank, said about CBDC implementaion:
Regardless of its importance, expanding access to a Central Bank’s balance sheet by making a CBDC available to households & non-financial corporations is only one of many ways in which tech innovation may help enhance the monetary & payment system.
Spain and Euro
Spain has been a part of the Eurosystem since 2002, meaning it doesn't issue its own currency. The European Central Bank, led by Christine Lagarde, has been actively researching a digital euro. In fact, the ECB has recently published a comprehensive report on the potential impact of a CBDC.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.