Mainland, Hong Kong open to e-CNY application in oil, gas

The application of the digital yuan, or e-CNY, in cross-border payments for oil and gas between the Chinese mainland and Hong Kong can be mulled, according to Di Gang, deputy director-general of the Digital Currency Institute of the People's Bank of China.

Under the cooperation framework between the Chinese mainland and Hong Kong, there is scope to explore the application of the digital yuan in cross-border payments for the trade of services and commodities, including oil and gas, Di said on Friday during the Hong Kong FinTech Week.

Di said that it was found in surveys that many enterprises face difficulties due to a single cross-border payment channel, high cost and low efficiency, expressing strong willingness to use the digital yuan to ease cross-border payment costs.

He added that digital yuan pilot applications between the Chinese mainland and Hong Kong could be considered based on expanding personal application scenarios and improving user experience as related projects have made substantial progress.