Central Bank Digital Currencies (cbdcs): Design And Implementation Training Course

Introduction

Central Bank Digital Currencies (CBDCs) represent a transformative innovation in the global monetary landscape, offering central banks an opportunity to modernize payment systems, enhance financial inclusion, and maintain monetary sovereignty in the era of digital transformation. As the adoption of CBDCs gains momentum, designing and implementing these digital currencies requires careful consideration of technological, economic, and regulatory factors. The success of CBDC initiatives hinges on balancing innovation with security, scalability, and inclusivity, while addressing risks to financial stability and privacy.

The Central Bank Digital Currencies (CBDCs): Design and Implementation course provides participants with an in-depth understanding of CBDCs, their design principles, and the strategies for successful deployment. Through case studies, technical frameworks, and policy analysis, participants will explore key topics such as the economic implications of CBDCs, technological infrastructure, regulatory compliance, and global interoperability. This course equips central bankers and policymakers with the tools to navigate the complexities of CBDC implementation effectively.

Target Audience

This course is tailored for:

• Central Bank Officials: Policymakers, monetary strategists, and digital currency project leaders.
• Regulators and Supervisors: Professionals overseeing financial innovation and digital payment systems.
• Economists and Researchers: Analysts studying the economic impact of CBDCs.
• Technology Experts: IT leaders and developers designing and implementing CBDC infrastructure.
• Financial Market Participants: Stakeholders exploring the implications of CBDCs on payments and financial systems.

Course Objectives

By the end of this course, participants will:

Understand CBDC Fundamentals

• Explore the objectives, types (retail and wholesale), and key features of CBDCs.
• Analyze the differences between CBDCs, cryptocurrencies, and stablecoins.

Design Effective CBDC Frameworks

• Learn the principles of CBDC design, including scalability, security, and interoperability.
• Examine use cases for CBDCs in payments, financial inclusion, and monetary policy.

Assess Economic and Policy Implications

• Evaluate the impact of CBDCs on financial stability, monetary policy, and banking systems.
• Understand the role of CBDCs in cross-border payments and global trade.

Develop Implementation Strategies

• Explore the technical and operational requirements for CBDC deployment.
• Learn strategies for pilot testing, stakeholder engagement, and public communication.

Address Regulatory and Security Challenges

• Ensure compliance with data protection, AML/CFT, and legal frameworks.
• Mitigate cybersecurity risks and enhance operational resilience in CBDC systems.

Draw Insights from Global Case Studies

• Analyze CBDC initiatives from countries like China, Sweden, and the Bahamas.
• Apply best practices and lessons learned to local contexts.

This course empowers central banks and policymakers to design and implement CBDCs that align with their strategic objectives, fostering secure, efficient, and inclusive financial ecosystems.

Module 1: Introduction to Central Bank Digital Currencies (CBDCs)

• Definition and types of CBDCs (retail vs. wholesale).
• Comparison with cryptocurrencies and stablecoins.
• Objectives of CBDC adoption: efficiency, inclusion, and sovereignty.

Module 2: Motivations and Use Cases for CBDCs

• Enhancing payment systems and reducing costs.
• Financial inclusion and access to banking services.
• Maintaining monetary sovereignty and countering private digital currencies.

Module 3: CBDC Design Principles and Frameworks

• Scalability, interoperability, and accessibility.
• Balancing anonymity with regulatory compliance.
• Managing offline and cross-border functionality.

Module 4: Technology and Infrastructure for CBDCs

• Blockchain and Distributed Ledger Technology (DLT).
• Centralized vs. decentralized infrastructure models.
• Integrating with existing payment systems and banking networks.

Module 5: Economic and Monetary Policy Implications of CBDCs

• Transmission mechanisms of CBDCs in monetary policy.
• Impacts on banking systems and credit creation.
• Managing disintermediation risks and interest-bearing CBDCs.

Module 6: Legal and Regulatory Considerations

• Defining CBDCs as legal tender and liabilities.
• Addressing Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) requirements.
• Ensuring data protection and consumer rights.

Module 7: CBDC Security and Risk Management

• Cybersecurity frameworks and protocols.
• Resilience against fraud, counterfeiting, and operational failures.
• Contingency planning and disaster recovery mechanisms.

Module 8: Stakeholder Engagement and Public Trust

• Engaging financial institutions, fintechs, and the public.
• Communication strategies for transparency and education.
• Addressing public concerns around privacy and usability.

Module 9: Cross-Border CBDC Interoperability

• Challenges in cross-border CBDC design and operation.
• Case studies on multi-CBDC platforms (e.g., Project mBridge).
• Harmonizing international standards and regulatory coordination.

Module 10: Pilot Testing and Implementation Strategies

• Designing and executing pilot programs.
• Iterative testing for scalability, security, and user experience.
• Transitioning from pilot to full-scale implementation.

Module 11: Global Case Studies on CBDCs

• Insights from China’s digital yuan, Sweden’s e-krona, and the Bahamas’ Sand Dollar.
• Success factors and challenges in CBDC deployments.
• Adapting global best practices to local contexts.

Module 12: Future Trends and Innovations in CBDCs

• Role of CBDCs in programmable money and smart contracts.
• Implications of AI and blockchain advancements on CBDCs.
• Addressing geopolitical and economic shifts in CBDC adoption.

Learning Outcomes

By completing this course, participants will:

1. Gain a comprehensive understanding of CBDCs, their objectives, and design principles.
2. Develop technical and operational strategies for implementing secure and efficient CBDCs.
3. Analyze the economic, regulatory, and monetary implications of CBDCs.
4. Address risks and build trust with stakeholders and the public.
5. Explore global best practices and future trends to stay ahead in CBDC innovation.

This course equips central bankers, policymakers, and financial leaders with the knowledge and skills to lead CBDC design and implementation, ensuring their alignment with national and global objectives.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 5 working days before commencement of the training.