‘CBDC not a necessity for Korea’
The Bank of Korea is of the view that a central bank digital currency is not a necessity for at least developed countries. Hong Kyung-sik, director of financial settlement at the central bank, told a conference on payments in Seoul that in Korea, as in most advanced economies, there is very little need for a CBDC. The country already has advanced payment and settlement infrastructure. In addition, the degree of openness is also internationally high, he said at the conference. He added that money can be moved quickly, cheaply and safely in the country utilizing app-based solutions and by bank remittance, and purchases can be settled efficiently with credit cards. Open banking is also being developed in Korea, with APIs allowing for seamless connections to and between financial institutions, he pointed out.