Shayne Elliott, the departing CEO of ANZ Group Holdings Ltd, has advocated for the digitization of the national currency, emphasizing the importance of the government and central bank maintaining authority over their financial systems. He voiced his concerns over cryptocurrencies like Bitcoin, stating he struggles to understand their utility outside criminal activities, where they could facilitate anonymous transactions.

During a presentation at the Reserve Bank of Fiji, Elliott discussed the potential of Central Bank Digital Currencies (CBDCs) as a necessary innovation to counteract the influence of decentralized cryptocurrencies. He highlighted that as the world progresses towards increased digitization, it remains crucial for central banks and governments to retain control over their monetary policies. “If it goes to Bitcoin, you’ve lost control,” he stated.

Elliott speculated that the Reserve Bank of Fiji may be contemplating the launch of its own digital currency, potentially dubbed the digital Fijian dollar. He mentioned the advantages of CBDCs, which could lead to faster and cheaper transactions, fostering innovation in financial services. He also pointed out that Australia is already testing CBDCs, with ANZ leading the way in creating the first bank-issued stablecoin that is linked to the Australian dollar.

Currently, cryptocurrencies are not recognized as legal tender in Fiji, and the Reserve Bank of Fiji has warned citizens against investing in them. The bank has been queried about its potential plans to issue its own CBDC, underlining ongoing discussions surrounding the future of digital finance within the region.

As countries explore the transition to digital currencies, there is an opportunity for innovation and enhanced financial inclusion. The evolution of CBDCs could present a brighter future for banking, reducing costs and increasing efficiency, ultimately benefiting a wider audience.

Summary: Shayne Elliott, former CEO of ANZ, calls for the digitization of national currency to maintain state control amidst the rise of cryptocurrencies. He promotes the potential for Central Bank Digital Currencies (CBDCs) to enhance transaction efficiency. While Fiji does not recognize cryptocurrencies as legal tender, discussions about a digital Fijian dollar could signify a positive shift towards innovation in the financial sector.