The move is seen as part of Ukraine's efforts to reinforce its army as soldiers struggle to hold positions against Russia
The two apex banks said in a statement that one of the objectives of launching the common digital currency project ‘Aber’ is for use in financial settlements between the two countries through Blockchain and distributed ledger technologies.
“As for the mechanism agreed upon by the Saudi Arabian Monetary Authority and the UAE Central Bank for implementation of the ‘Aber’ project, the concentration in the initial stages will be on technical aspects. The use of the currency will be restricted to a limited number of banks in each state. In case that no technical obstacles are encountered, economic and legal requirements for future uses will be considered,” read the statement issued on Tuesday.
The pilot project is aimed at studying the practical application of modern technologies and determining their impact on the reduction of remittance costs and assessment of technical risks and how to deal with them.
The central banks didn’t specify when the project would be launched.
Central banks of some countries have already begun pilot projects to explore the dimensions of Blockchain and distributed ledger technologies in the circulation of digital currencies. Countries already working on the pilot project include Sweden, Bahamas, Uruguay and Russia.
The central bank-based digital currency will make cross-border financial transactions more secure and financially efficient.
The UAE and Saudi Arabia hope that their pilot projects will benefit everyone locally and internationally.
A large number of companies in the UAE are increasingly embracing new technologies such as Blockchain, Artificial Intelligence, Internet of Things, etc., in line with the Fourth Industrial Revolution that is reshaping governments and corporates around the world.
The Abu Dhabi Global Market has been aggressively working on a framework to regulate spot crypto asset activities.
— waheedabbas@khaleejtimes.com
The move is seen as part of Ukraine's efforts to reinforce its army as soldiers struggle to hold positions against Russia
The Jamaican currently holds world records in the 100m, 200m and 4x100m with times of 9.58s, 19.19s and 36.84s respectively
Total property income posted year-on-year growth of 10% to $74m, highest value ever
All official donation channels however remain open through the outlets announced by government agencies
The Starlight Park is a four-building freehold community in Meydan
The 22-time major champion admits his farewell tour hasn't been as enjoyable as he would have hoped
Eating out, poor hand hygiene and erratic weather may be among causes, say medics
The goal-scoring striker is suffering from a muscle injury sustained during the Champions League quarter-final loss to Real Madrid