This paper examines the potential effects of cross-border central bank digital currencies (CBDCs) on capital flows and financial stability in an open economy. It focuses on the presence of a credible foreign central bank that issues an interest-bearing CBDC to nonresidents. The study suggests that having a foreign CBDC as an international safe asset could raise the risk of financial disintermediation in the domestic banking sector. This could lead to increased and more unpredictable capital flows. These findings highlight the need for careful consideration of the implications of CBDCs on domestic financial systems and global capital movements.