1. Expanding the discourse to encompass the transformative potential of central bank digital currencies (CBDCs) in reshaping the monetary landscape and redefining the role of traditional banking intermediaries, could you provide an extensive analysis of the implications of CBDCs on monetary policy transmission mechanisms, financial inclusion initiatives, payment system efficiency, and systemic stability considerations, while concurrently addressing the technical challenges surrounding CBDC implementation, interoperability issues, privacy concerns, and the broader implications for the banking sector's business model and operational infrastructure ?