IndusInd Bank Becomes 1st Bank to Successfully Execute RBI’s Programmable CBDC Pilot

Current Context: On 23rd April 2024, IndusInd Bank announced the successful execution of the Reserve Bank of India’s (RBI) programmable Central Bank Digital Currency (CBDC) pilot, making it the first bank to do so.

• This pilot project was executed in collaboration with Circularity Innovation Hub India Private Limited (CIH).
• As part of this pilot, IndusInd Bank initiated the programmable CBDC disbursement to 50 farmers in the Ratnagiri district of Maharashtra and plans to cover around 1000 farmers going forward.
• This marks a significant milestone in the adoption of innovative financial solutions for the agriculture sector.
• The project involves IndusInd Bank crafting digital wallets and managing CBDC transfers, alongside partners including CIH, which is a Sponsor Agency for this project and a climate-tech company.
• This collaborative effort aims to promote Circularity Credits from recycling agricultural waste.
• Mr. Sumant Kathpalia, Managing Director & CEO, IndusInd Bank, expressed pride in driving the programmable CBDC by the RBI and excitement about driving positive change in the agriculture sector and beyond.
• The bank is committed to leveraging innovative solutions to empower communities and build a brighter future for all.

Question:

Q.1 Who announced the successful execution of the Reserve Bank of India’s (RBI) programmable Central Bank Digital Currency (CBDC) pilot on 23rd April 2024?
a. Reserve Bank of India
b. Circularity Innovation Hub India Private Limited
c. Mr. Sumant Kathpalia
d. IndusInd Bank