Central Bank of Bahrain completes JP Morgan CBDC test
Central Bank of Bahrain’s (CBB) has successfully completed its CBDC test with Onyx by J.P. Morgan’s JPM Coin System. This is a first of its kind test of JPM Coin System in the region. Prior to this Central Bank of Bahrain had agreed to take on the CBDC project in May of 2021
The test enabled Bank ABC to initiate real-time payments for Aluminium Bahrain (ALBA) to benefit ALBA’s counterparties in the United States, leveraging JPM Coin System, a permissioned system that serves as a payment rail and deposit account ledger, enabling participating entities to transfer US Dollars held on deposit with J.P. Morgan. The promising outcome of the test, overseen by the Central Bank of Bahrain, signifies the Kingdom’s commitment to a significant uplift of its financial technology apparatus in the endeavor to deliver the highest quality of services and the best customer experience to continue leading the Financial Technology transformational journey in the region.
The CEO of ALBA, Ali Al-Baqali said “We at ALBA are very happy to have participated in and contributed towards a successful test of this cutting-edge technology, which we’re certain will optimize our cash management activities. ALBA has been at the forefront of leveraging new innovative, secure and reliable financial solutions that bring speed, seamless efficiencies into our financial operations. We’re also proud to be part of such a flagship initiative in the Kingdom of Bahrain and work with close and strong banking partners under the sponsorship of the Central Bank of Bahrain.”
Ali Moosa, Vice Chairman and Senior Country Officer, J.P. Morgan Bahrain added saying “Onyx by J.P. Morgan is committed to leading the buildout of next generation clearing and settlement infrastructures and we are delighted to work with a leading central bank like CBB and an innovation-focused institution in Bank ABC to lead this project in the region. The completed test with ALBA and Bank ABC will help inform further development of JPM Coin Systems for future use by our correspondent banking partners.”