Amid highly rising inflation and with the Turkish Lira losing value against the USD, the country is now looking for a digital alternative to its national currency. Drawing a leaf from China’s CBDC move, Turkey is all set to launch its Digital Lira in the next two years.
On Wednesday, local news agency Sabah published the news stating that the Central Bank of Turkey and the Financial Department of the President are working on this matter. Turkey’s central bank is currently looking at ways to cater to the dramatic adoption of Bitcoin among its citizens.
Also, the surge in the adoption of digital assets by the local population is forcing the government to support the shifts in the economy. Ayben Koy, the Associate Professor at the Istanbul University of Commerce said:
“Restrictions on cryptocurrencies are a thing of the past, and today it is clear that many countries are developing CBDCs using the same technology.”
He further added that CBDC projects have been undertaken by central banks worldwide and the current measures initiated by Turkey’s central bank is the necessary and correct step. The CBDC plans by the central bank have received approval and backing from politicians and businessmen.