Bank of Israel may consider paying interest on future CBDC
Survey finds substantial interest in digital shekel, particularly from older Israelis
The Bank of Israel has said it will consider offering interest on the digital shekel if the public does not adopt it widely enough.
In a report published on February 17, the bank suggested that if it were to pay interest on a central bank digital currency, that could encourage more people to adopt it.
The bank said a CBDC could increase competition in the banking sector and enhance monetary policy transmission. However, it also warned that a digital shekel could lead to increased withdrawals and a
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