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RBI launches Phase 3 of Central Bank Digital Currency (CBDC) pi

Banking & Finance | Dated: 01 Nov 2025

The Reserve Bank of India (RBI) announced the launch of the third phase of its Central Bank Digital Currency (CBDC) pilot program on November 1, 2025. This phase will expand the e-Rupee (retail) pilot to new cities and banks, focusing on testing offline transaction capabilities and programmable payments.

🎯 Key Highlights:

  • The CBDC is also known as the 'Digital Rupee' or 'e-Rupee'.
  • The first pilot for CBDC-Retail (CBDC-R) was launched on December 1, 2022.
  • Phase 3 aims to test interoperability with the UPI payment system.

💡 Other Important Facts:

  • CBDC is a digital form of currency issued by the central bank, unlike private cryptocurrencies.
  • India is testing two types: CBDC-Retail (for all) and CBDC-Wholesale (for financial institutions).
  • The expansion aims to achieve the target of 1 million transactions per day by the end of 2026.

📚 Test Your Knowledge:

What is the name of India's Central Bank Digital Currency (CBDC) being piloted by the RBI?

Correct Answer: e-Rupee

🚀 Quick Recap:

About Reserve Bank of India (RBI)

  • (i) Established: 1 April 1935 (ii) Headquarters: Mumbai, Maharashtra (iii) Governor: Shaktikanta Das (as of Nov 2025) (iv) Act: RBI Act, 1934.