Speech

Opening Remarks of the Managing Director at the 11th IMF Statistical Forum: Measuring Money in the Digital Age

November 15, 2023

Good morning, and welcome. Let me start by thanking Bert and the Statistics Department team for always taking on the big questions of how we actually quantify our rapidly evolving world economy. 

And all of you will no doubt continue this great tradition over the next two days as you discuss “Measuring Money in the Digital Age.”

Now is the right time to do this—accelerated by the pandemic, mobile payments are nearly everywhere in many advanced and emerging economies. A large and growing number of countries are steaming ahead with development and deployment of Central bank digital currencies, or CBDCs. And while crypto assets, including stablecoins, have had their ups and downs, they aren’t going away.

The international payments system needs to be improved. We need to make it cheaper, quicker, and easier, so that workers can send home remittances, and small businesses can grow their exports.

But we must also urgently guard against money laundering and other crimes, including fraud and theft from retail investors. And thinking ahead, we need to ensure that substitution out of weaker currencies doesn’t leave monetary authorities unable to fight inflation, promote growth, and maintain financial stability.

Maintaining a stable and resilient international monetary system is core to the IMF’s mandate—as is helping our members grow. So we are working to help them seize opportunities and manage risks in several ways.

We are offering capacity development to countries considering CBDCs, and working with partners toward a comprehensive policy framework on crypto assets. We are continuously monitoring and assessing the impact of newer payments systems on the global economy and financial system. And we are exploring the possibility of new public global platforms to link national payments systems.

This work depends on the capacity to measure digital money and new payment methods, how they are being used, and by what types of users, in a consistent and timely manner. Such data are essential. It can help us in better understanding currency substitution, capital flow movements, trade and consumption patterns and could also help ensure compliance of digital payments with AML/CFT.So, we are also strongly supporting the G20 Data Gaps Initiative’s work around digital financial innovations, where the IMF Statistics Department remains at the forefront in assisting countries in closing this data gap.

There are two facets to the statistics challenge:

First, we need robust data sources and sound statistical methodologies to actually understand what’s going on with these new means of payment. Additionally, the anonymous nature of some assets adds complexity by obscuring the origins of transactions.

Second, we must consider whether our understanding and computation of traditional monetary and liquidity indicators need to be re-evaluated in light of newer types of payments.

Cooperation—across borders, industries, and professions—is critical to developing a comprehensive and consistent approach on measuring these new payment methods.

We appreciate you engaging with us as we work together to improve how we measure money in the digital age.

Thank you.