Kazakhstan ready to share digital currency expertise with Azerbaijan - National Payment Corporation

BInur Zhalenov
Photo credit: Trend

Kazakhstan is ready to share its experience on the introduction of digital currency with Azerbaijan, Chairman of the Board of the National Payment Corporation of Kazakhstan Binur Zhalenov told Trend on the margins of the Fintex Summit in Baku, Trend reports.

"As far as I'm aware, no conclusive decision has been reached regarding the digital manat. However, we're eager to exchange our expertise with our counterparts. Once a decision is reached regarding the implementation of the digital manat, we'll be prepared to share our insights, which will not only foster cross-border settlements between our nations but also enhance cooperation," he said.

The chairman suggests that the presence of digital currencies in both countries will aid in lowering transaction costs.

"Should there be a digital manat and digital tenge, the velocity and expense of transactions between our nations may see a potential decrease," remarked Zhalenov.

Additionally, he highlighted the collaborative efforts between regulators in both countries.

"We consistently engage in fruitful collaboration with our counterparts at the Central Bank of Azerbaijan. They are a highly proficient regulatory body," stated the chairman of the National Payment Corporation.

To note, the digital tenge project underwent a pre-launch phase in 2021 to assess its feasibility. Subsequent research and testing with real consumers and businesses continued throughout 2022.

On November 15, 2023, the initial phase of implementing the digital tenge platform within the industrial circuit commenced. Collaborating with the Almaty city's administration and Kazpost postal service company, a pilot project introducing "digital vouchers" for complimentary meals in schools was initiated. Furthermore, in conjunction with international payment systems and four second-tier banks, the world witnessed the debut of bank cards connected to a digital account in the central bank's digital currency. This innovative development enables citizens to utilize, withdraw, and conduct transactions worldwide, all within a familiar user interface.

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