Improving Inflation Management Effectiveness Under Central Bank Digital Currency Environment

The emergence of Central Bank Digital Currency (CBDC) represents a significant innovation in modern monetary systems, offering new tools and opportunities for central banks to enhance macroeconomic management. This study explores how CBDC can improve the effectiveness of inflation control by strengthening monetary policy transmission, enhancing data availability, and enabling more precise policy implementation. The paper analyzes theoretical foundations, global pilot experiences, and potential macroeconomic impacts of CBDC adoption on inflation dynamics. The findings suggest that CBDC can improve policy responsiveness, reduce time lags, and increase transparency, thereby strengthening central banks’ ability to maintain price stability. However, careful design and regulatory frameworks are essential to mitigate potential risks such as financial disintermediation and operational vulnerabilities.