Central banks are a critical component of every modern economy. Tasked with managing the macroeconomy, they depend on economic data to inform decisions that impact the economic wellbeing of the entire population. 

But when it comes to the importance of data for central banks, monetary policy is just one area. Central banks also rely on data to promote financial stability by supervising the banking system, as well as managing the reserves and financial assets of a nation. In the process, they face many constraints, such as tight budgets and strict oversight and regulations.

In this paper, we lay out the opportunities and challenges facing central banks in the digital age, framing key issues that we will further investigate in our upcoming research report with the Official Monetary and Financial Institutions Forum (OMFIF).