(MENAFN- Trend News Agency) BAKU, Azerbaijan, May 17. The National PaymentCorporation of the National bank of Kazakhstan intends to connectmore banks to the digital tenge, Chairman of the Board of theNational Payment Corporation (NPC) of Kazakhstan Binur Zhalenovtold Trend on the margins of the Fintex Summit in Baku.
"We are implementing the digital tenge project in three stages first stage was introduced last year. Including working withcompanies such as Visa and Mastercard, we have provided theopportunity to spend digital tenge anywhere in the world. Thisyear, we have ambitions to expand the project. Firstly, connectmore banks. Let me remind you that last year we connected fivebanks; this year we have a goal to connect at least ten banks," hesaid.
According to Zhalenov, a new scenario in digital tenge is alsobeing implemented.
"The first direction is to ensure transparency in governmentspending. We signed a roadmap together with the Ministry of Financeand the Anti-Corruption Service on the implementation of pilotprojects using digital tenge. We want to ensure the targeted use ofpublic funds. If money is allocated for the construction of aschool, then it is“colored” in accordance with the design andestimate documentation, and digital tenge can only be spent ongoods and services related to the construction of the school,"Zhalenov said.
He noted that the second direction is cross-border payments."This year, we expect to go from being an observer to becoming afull participant in the mBridge project of the Bank forInternational Settlements and launching cross-border payments indigital currencies on November 15," he said.
As the chairman of the NPC noted, it is also planned to use thedigital tenge for the digital asset industry.
"In particular, we expect that the regulator will support thelaunch of a crypto card. That is, this will make it possible tospend USDT from a crypto-wallet using digital tenge. There are alsoareas related to digital vouchers. In particular, free meals inschools. It will be digitized using digital tenge smart contracts,"he noted.
To note, the digital tenge project underwent a pre-launch phasein 2021 to assess its feasibility. Subsequent research and testingwith real consumers and businesses continued throughout 2022.
On November 15, 2023, the initial phase of implementing thedigital tenge platform within the industrial circuit commenced with the Almaty city's administration and Kazpostpostal service company, a pilot project introducing "digitalvouchers" for complimentary meals in schools was initiated, in conjunction with international payment systems andfour second-tier banks, the world witnessed the debut of bank cardsconnected to a digital account in the central bank's digitalcurrency. This innovative development enables citizens to utilize,withdraw, and conduct transactions worldwide, all within a familiaruser interface.
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