India and the United Arab Emirates (UAE) have entered into a collaboration on central bank digital currencies (CBDCs), according to the official announcement published on March 15, 2023.

The press release indicates that the Reserve Bank of India (RBI) and the Central Bank of the United Arab Emirates (CBUAE) have signed a Memorandum of Understanding (MoU) in Abu Dhabi stating that the central banks will jointly conduct a proof-of-concept (PoC) and pilot(s) of a bilateral CBDC bridge to facilitate cross-border CBDC transactions of remittances and trade.