CBDC: EMPIRICAL STUDY ON DETERMINANTS OF CBDC USAGE PURPOSE AMONG CONSUMERS

Abstract

The initiative from the government of India in making India into a digitally vibrant nation is highly admirable. India economic growth over the decade is raising at higher rate, it due to adoption of digitalization in every part of economy from banking, business, and international payment. Banks are updating according to needs and demands of the consumers providing amenable services at finger tips of the consumers. From small vendor to high business transitions are carry forward with the help of digital transition or digital currency. The primary objective of the study is determining CBDC usage purpose among consumers. The study used convenient sampling method and covered 160 banking consumers using digital banking. The findings of the study show Determinants of CBDC Usage Purpose among Consumers have been segregated into two dominant dimensions namely Payment Terminal and Financial Statibility Factor which dealing with cost of using online banking, usage of the same at all branches both nationally and internationally and security of the banking. The second factor is Usage and Payment Efficiency Factor which deals with usage of the digital banking, efficiency of the payment over the geographical location and ability of use the same without internet connections. Consumer Perception on CBDC have been segregated into two dominant dimensions namely Expectancy and Performance Factor which deals with expectancy of the consumers over usage of CBDC, knowledge on using digital currency and trust over the banking while using digital currency. A positive and significant impact of Consumer Perception on CBDC on Determinants of CBDC Usage Purpose among Consumers has been identified.