Bank of Japan says Libra regulation needs global cooperation

Governor of Bank of Japan said that regulating Facebook’s digital currency Libra is of utmost importance.

On Sept 23rd, Haruhiko Kuroda, Governor of Bank of Japan requested policymakers for tighter regulations for Libra in a speech before business leaders in Osaka city of Japan.

“If Libra is introduced, it could have a huge impact on society” Haruhiko Kuroda, Governor of Bank of Japan

A liason was set up involving the Bank of Japan, Financial Services Agency and the Ministry of Finance investigating the prospective impact of Facebook’s Libra on the global monetary policy and financial stability.

Global concern for regulators

On the other hand, European finance ministers had a hard attitude towards Libra along with German Vice-Chancellor and Finance Minister Olaf Scholz saying that it might “clearly have to reject any form of parallel currency.”

Bruno Le Maire, Minister of France stated previously that France cannot allow Facebook’s Libra to launch in its country because “monetary sovereignty of states is at stake.”

On the other hand, head of Facebook Calibra, David Marcus said that Libra is not expected to be a new currency but as a better alternative to the existing payment systems.

He added that creation of money will “strictly remain the province of sovereign Nations.”

Last week, Facebook’s CEO, Mark Zuckerberg had dinner with a group of US senators “to address concerns about the tech giant’s handling of privacy and other internet regulatory matters, including Libra.”


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