September 13, 2024
By Our Correspondent
The initiative for China’s digital yuan has made significant progress, supported by over ten years of research and four years of pilot testing, as stated by Lu Lei, Deputy Governor of the People’s Bank of China (PBOC).
Trials for the central bank digital currency (CBDC) have taken place across 17 regions, resulting in a total transaction value of 7 trillion yuan (approximately $1 trillion).
Furthermore, China is collaborating with various countries on a cross-border digital currency initiative aimed at improving global payment systems.
Last week, the State Council Information Office of China conducted a series of press conferences centered on “Promoting High-quality Development.” Lu Lei, Deputy Governor of the PBOC, participated and addressed inquiries regarding the advancements of the digital yuan.
“Currently, the digital RMB has undergone pilot testing in 17 provinces, autonomous regions, and municipalities, exploring applications in wholesale and retail, catering, culture and tourism, education, and healthcare, resulting in numerous replicable and scalable online and offline solutions,” the official explained.
He also noted: By the end of June this year, the total transaction volume of the digital RMB reached 7 trillion yuan (nearly $1 trillion). Lu highlighted the digital RMB’s contribution to enhancing financial inclusivity and payment efficiency, asserting: “The digital RMB has positively impacted consumer spending, facilitated green transformation, and improved the business environment.”
The deputy governor underscored that a decade of research has culminated in the preliminary success of the digital RMB, validated through extensive pilot initiatives. He indicated that China has established a “two-tier operating structure” for the digital RMB, integrating central bank supervision with operational entities.
