FinTech Week spotlights large-scale cross-border applications of digital yuan

The promotion of large-scale cross-border applications of the digital yuan has been initiated in Hong Kong.

Xing Guiwei, deputy chief executive of the Bank of China (Hong Kong), made the announcement on Friday during Hong Kong FinTech Week.

Xing added that the bank kicked off cross-border pilot projects in 2020, and this year has entered the level of large-scale promotions with new innovative applications.

One such application that caught his attention is that many mainland visitors who need to use Octopus cards when traveling to Hong Kong are studying related solutions, such as using digital yuan, or e-CNY, to top up their Octopus cards.

Octopus Group CEO Tim Ying Tien-chi told the forum that Hong Kong tourism is on the trajectory of recovery, as about 3 million people visit Hong Kong per month, and 80 percent of them are from the mainland.

Ying said he has noticed the focus of tourists is changing from spending to in-depth travel, so Octopus Group, with the largest payment network in Hong Kong, can facilitate currency exchanges and retail transactions.

He also said that mainland tourists can pay via the Octopus app instead of the physical Octopus card, making the experience more convenient.

Ying also said that the e-CNY can also help protect users through applications in pre-paid services, such as beauty salons.

Moreover, to further enhance collaboration in the Guangdong-Hong Kong-Macao Greater Bay Area, the People's Bank of China announced on Thursday at the same event that it will soon sign a memorandum of understanding with the Hong Kong Monetary Authority and the Monetary Authority of Macao on innovative cross-border regulatory projects.

This year's Hong Kong FinTech Week, the eighth annual edition, features more than 500 speakers, 650 exhibitors, and thousands of participants from over 90 economies. The weeklong events, which began on Monday, are themed "Fintech Redefined", and are expected to shape the future of fintech in Hong Kong.