Commonwealth Central Bank Governors Meeting Discusses Digital Currency, Acknowledges Potential in Remittance Market

According to CoinDesk, Commonwealth central bank governors said they want to look more closely at the impact of digital currencies on monetary policy before taking a stance on the technology.

The comments were made on October 6 at a meeting of about 30 central bank governors at the Commonwealth of Nations, an intergovernmental international organization with 53 member states. The meeting was chaired by Aitur Rahman, governor of the Bangladesh Central Bank, and focused on the discussion of Bitcoin, primarily in global remittances.

The meeting was also attended by government ministers and other officials.

Today, many startups have chosen the digital currency industry, and even technologically advanced countries like Australia and the United States are struggling to obtain basic banking services.

The conference, which was designed to examine the potential of virtual currencies to reduce costs and increase transmission efficiency, also featured a digital currency presentation from CoinDesk contributor Garrick Hileman.

While attendees acknowledged that digital currencies could solve pain points in global remittances, some governors raised questions at the meeting about “the impact of digital currencies on monetary policy and financial stability,” according to the Commonwealth Secretariat.

Jwala Rambarran, Governor of the Central Bank of Trinidad and Tobago, was quoted by the Commonwealth Secretariat:

“The Commonwealth Secretariat plays an important role in sharing knowledge and developing research into the potential and impact of this new technology. If we decide to regulate virtual currencies, we do not know the risks of financial instability they pose and this requires careful consideration.”

During the meeting, delegates also discussed best practice examples of this technology.

Hileman described the meeting as positive, telling CoinDesk:

“There is a clear interest among many Commonwealth member countries in the potential for cryptocurrencies to have a positive impact in reducing costs and other inefficiencies of traditional remittance services.”

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