Key Takeaways:
- The early adopters of CBDC will receive $2,500 from the Government.
- Bank account holders will automatically get a JAM-DEX enabled wallet.
On March 8, Dr. the Hon. Nigel Clarke, the Minister of Finance and the Public Service, delivered the opening presentation in the 2022/23 Budget Debate in the House of Representatives. The theme of the same was ‘Recovery, Reform, Restoration.’
To encourage residents to use CBDC (Central Bank Digital Currency) for transaction purposes, the Minister announced that the first 100,000 Jamaicans to establish CBDC wallets post-April one would receive an amount of $2,500 from the Government. Prime Minister Andrew Holness first shared this news on his official Facebook page.
After successfully completing a pilot project in 2021, Jamaica is all set to launch its CBDC, called JAM-DEX (Jamaica Digital Exchange). It will form a vital component of the digital transformation initiative of the Jamaican government.
However, the Government is yet to achieve a milestone. They are attempting to postpone the regulation in the Parliament to let BOJ (Bank of Jamaica) be the sole issuer of JAM-DEX so that it gets legal status.
The Minister also said that BOJ would get on board four other wallet providers and the National Commercial Bank (NCB) is the first institution. He also added good news for people who already have a bank account that they will automatically gain access to a JAM-DEX-enabled wallet.
He further added, “If you don’t have a bank account, all that is required to set up a JAM-DEX-enabled wallet are simplified Know Your Customer information: name, address, date of birth, tax registration number (TRN), and a valid government-issued photo ID such as a driver’s license, passport, or voter identification card. Of course, once NIDS is fully implemented, this will be accepted”.
