UAE and Saudi Arabia cooperate on digital currency project

05 Feb 2019

flagsArgaam, a Saudi Arabian financial news portal, reported that six commercial banks from Saudi Arabia and the United Arab Emirates have joined a digital currency project.

The goal of the project is to make use of cryptocurrency for financing transactions between the two countries, Agraam said.

The project was first mentioned in December 2018, when UAECB and Saudi Arabian Monetary Authority (SAMA) revealed that the countries were aiming at using cryptocurrency for cross-border transactions.

The interbank digital currency project, known as Aber, is scheduled to start up sometime in the next 12 months. Agraam also wrote: “The currency's official issuance is conditional on the outcomes of the “proof-of-concept” stage. The Saudi Arabian Monetary Authority (SAMA) and the UAECB will decide on the feasibility of the currency’s practical applications.”

Last month, Saudi Arabia and the UAE had already announced plans of cooperation on joint cryptocurrency development, aimed at deepening their knowledge of the development of blockchain technology.