The Saudi Arabian Monetary Authority (SAMA), which serves as the central bank of the country, began cooperating with Ripple. The regulator intends to test the xCurrent technology solution from Ripple, which promises to improve the payment infrastructure and enable the instantaneous implementation of cross-border transactions.
"This groundbreaking pilot program is the first of its kind to be launched by the Central Bank. Participating banks [in the Kingdom of Saudi Arabia] will use xCurrent for instant transfer of payments sent in and out of the country with greater transparency, and lower costs," said Ripple.
In turn, SAMA will advise the country's banking institutions on the use of the xCurrent technology in their activities. The Saudi Arabian Monetary Authority is the second regulator after the Bank of England, which launched a similar project in collaboration with Ripple. Also, it should be recalled that recently Western Union began to test payments based on a technological solution from Ripple.
Blockchain technology is becoming more common in the banking sphere. So far it is not known exactly how the Central Bank of Saudi Arabia will use Ripple. Perhaps it even develops its own innovative solution based on xCurrent.
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