Saudi Arabia Announces Digital Currency Exclusively for Banks

Published October 8th, 2017 - 10:59 GMT
Saudi Arabia has plans for a new digital currency for banks. (Pexels)
Saudi Arabia has plans for a new digital currency for banks. (Pexels)

The Saudi Arabian Monetary Authority (SAMA) is planning to implement a pilot project to issue a virtual/digital currency that will only be traded among banks.

The authority will also study the project’s positive aspects, said Dr. Ahmed Al-Khulaifi, governor of SAMA. 

Addressing a recent press conference in Riyadh, he ruled out plans to issue a digital currency for trading between individuals and companies.

SAMA plans to dispense with SR1 currency notes and issue coins for this denomination instead, the governor was quoted as saying by Al-Hayat daily.

He said that SAMA was taking all steps needed for the issuance and circulation of riyal coins, which will be available at the SAMA headquarters, its branches and the entire banking sector.

Liquidity in the banking system is good, the governor added.


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