Among the many benefits trumpeted by evangelists for central bank digital currencies, one in particular, cited by enthusiasts in advanced and emerging economies alike, is coming increasingly to the fore. This is the supposed ability of CBDC to promote financial inclusion – defined as the integration of all citizens within the formal national banking system – and is deemed increasingly vital as many economies head towards a fully digital payments infrastructure and eventually ditch physical cash altogether. In a research paper, the Central Bank of the Bahamas, arguably the world’s first issuer of a CBDC, argued that ... (full story)