Saudi Arabian Monetary Authority, the country’s central bank, has signed an agreement with U.S.-based Ripple to help banks in the kingdom to settle payments using blockchain. The central bank is intending to do a pilot program, which will be the first of its kind to be launched by a central bank, allowing banks in the kingdom to use Ripple’s software to instantly settle payments sent into and out of the country. Saudi banks will now be able to make faster, cheaper and more transparent cross-border transactions. The central bank would offer training to Saudi banks in this regard. Meanwhile, the Saudi central bank is working with the United Arab Emirates central bank to issue a digital currency that would be accepted in cross-border transactions between the two countries.
