Hong Kong and China to Expand Cross-Boundary Digital Yuan Pilotsby Fintech News Hong Kong January 25, 2024
The Hong Kong Monetary Authority (HKMA) and the People’s Bank of China (PBoC) unveiled six policy measures to bolster financial cooperation between Hong Kong and Mainland China.
Among these, two fintech-related initiatives stand out: the enhancement of cross-boundary credit referencing to streamline corporates’ cross-boundary financing activities and the expansion of cross-boundary e-CNY (digital Chinese yuan) pilots in Hong Kong, particularly within the Greater Bay Area.
These measures aim to promote the testing and integration of e-CNY in cross-boundary payments and financial services.
Eddie Yue, Chief Executive of the HKMA, said,
“We are pleased to see the announcement of the six measures. They will promote further opening up of the Mainland’s financial market, strengthen Hong Kong’s status as an international financial centre and offshore RMB business hub, and foster closer connections within the GBA. The announcement is the result of the concerted effort of the HKMA, the PBoC and other relevant financial regulatory authorities in the Mainland and Hong Kong. We will continue to work closely with them and the industry to ensure timely and smooth implementation of these measures and explore further enhancements.”