CBRT hosted the Central Banks Forum meeting of the Organization of Islamic Cooperation (OIC)-Economic and Commercial Cooperation Standing Committee (COMCEC) held in Istanbul on 24-25 September.
The opening of the meeting was made by CBRT President Erkan. In the first session of the meeting, the global economic outlook and the economic outlook of the OIC member countries were discussed.
In the second session, the latest developments in the design and use of central bank digital currencies were evaluated and the role of inter-central bank cooperation in this regard was emphasized.
In the third session, the increasing importance of trade in local currencies at the global level was discussed. Additionally, the benefits and challenges of trading with local currencies, especially in emerging market economies, were evaluated, as well as ways to improve trade with local currencies.
According to the information obtained by the AA correspondent, Erkan, speaking at the opening of the OIC-COMCEC Central Banks Forum meeting, which was held closed to the press, stated that he wanted to wish God’s mercy to those who lost their lives in the disasters in Morocco and Libya this month and a speedy recovery to those who were injured, and said, “I wish all Moroccans and Libyans their best wishes.” “I offer my sincere condolences. We also experienced two major earthquakes earlier this year and thank you all for your support and prayers during that difficult time.” he said.
Erkan emphasized that the world has moved from a decades-long period of oversupply, low interest rates and low inflation to a period of supply chain constraints, persistent inflation and, most importantly, increased risk of geopolitical instability and resource nationalism regarding critical raw materials and base metals.
Stating that the second issue he listed represents one of the additional reasons for high levels of prices, Erkan stated that such scarce global resources should be handled through global optimization and coordination in policy making, as in the OIC, and that, as central banks, they have an important duty in solving these problems. did.
Central Bank Digital Currency
Hafize Gaye Erkan, in her speech, also noted the following about MBDP:
“The initiatives of developed country central banks are about to reach a certain maturity, and we are at a critical turning point where the role of BIS and OIC cooperation are key in creating safe and resilient CBT systems. There are examples of countries developing their own digital money technologies. The ultimate power of digital money is only digital “It’s not that it’s money, it’s that it’s a monetary technology issued by the central bank. Without interoperability and high-performance payment processing systems, no MBDP project can deliver an efficient and effective global transfer of inclusive, greener trade and investment.”
Cooperation in the Organization of Islamic Cooperation; Emphasizing that testing interoperability is of key importance in facilitating cross-border MBDP transactions regarding trade and remittances, Erkan said, “In this respect, global operation is important. Optimization should be done not only for a country, but for each company or user.” he said.