NASSAU, BAHAMAS — The Central Bank has announced it will begin a gradual release a digital version of the Bahamian dollar nationwide on October 20.
The Sand Dollar initiative has already been piloted in Exuma and Abaco.
According to the Central Bank, four money transmission businesses, three payment service providers and one commercial bank have been on-boarded as Sand Dollar authorized financial institutions (AFIs).
The project is a continuation of the country’s Payments Systems Modernization Initiative (PSMI), which began in the early 2000s.
“The intended outcome of Project Sand Dollar is that all residents in The Bahamas would have use of a central bank digital currency, on a modernized technology platform, with an experience and convenience—legally and otherwise—that resembles cash. It is expected that this will allow for reduced service delivery costs, increased transactional efficiency, and an improved overall level of financial inclusion,” said the regulator in a recent statement.