The Bank of Israel is set to launch a sandbox for private sector players to experiment with a possible central bank digital currency (CBDC).

It is building an application programming interface (API)-based sandbox, deputy governor Andrew Abir said today (April 16). It will invite banks and fintech companies, among others, to develop use cases that will help design the digital shekel system.

Abir said the official announcement of the project will take place in the “coming weeks”.

The work is inspired