Turkey’s President Recep Tayyip Erdogan has directed that the government completes the testing phase for its planned national central bank digital currency (CBDC) by the end of next year.
Notably, Turkey’s 2020 Annual Presidential Program backed by President Erdogan wants the digital version of the country’s native fiat, Lira, to go live following a testing phase to be concluded before that year ends.
The Turkish central bank is reportedly working on the digital lira project with support from the country’s national tech innovation agency — the Scientific and Technological Research Council of Turkey (TUBITAK).
The digital Lira will also form part of a new software platform that would allow payments to be settled instantly. It also forms part of a national development plan seeking to reinforce an economically-troubled Turkish economy.
The document reinforced the need for making the country more attractive for investors, with a section of reading thus:
The main objective is to establish a financial sector with a strong institutional structure that can respond to the financing needs of the real sector at a low cost, offer different financial instruments to a wide investor base through reliable institutions and support Istanbul's goal of becoming an attractive global financial center.
Meanwhile, Stmarket.co recently reported a development in Turkey where bank accounts were frozen, as evidence regarding why digital currencies like Bitcoin is poised to succeed in the long run.
Turkey also has plans to become one of the first countries globally to adopt blockchain for its government administration.