The People's Bank of China (PBC) is actively promoting the interconnection of payment systems between mainland China and Hong Kong. This initiative signals a significant push toward modernizing financial infrastructure and preparing for the wider adoption of digital currencies.
According to Lu Lei, these efforts aim to streamline payments, reduce costs, and support more efficient trade and financial flows between the two regions.
Expanding Payment Infrastructure
The PBC has steadily expanded the Cross-border Interbank Payment System, or CIPS, in Hong Kong. CIPS serves as a key platform for clearing and settling cross-border renminbi payments. In June, the PBC successfully launched the Cross-border Payment Connect initiative, which simplifies payments for businesses and individuals moving money across borders. In addition, a unified cross-border QR code gateway was established, allowing users to make payments more seamlessly using compatible mobile platforms. These initiatives reduce friction in cross-border transactions and encourage broader adoption of digital tools for finance.
Real-world examples demonstrate the impact of such initiatives. For instance, in Singapore, the Monetary Authority of Singapore has piloted cross-border payments using the Singapore dollar and digital assets, allowing faster and cheaper settlements for businesses and banks. These projects reflect a global trend where central banks leverage digital infrastructure to streamline cross-border payments, reduce reliance on correspondent banking networks, and enhance transparency.
⚠️ 𝐁𝐫𝐞𝐚𝐤𝐢𝐧𝐠 𝐍𝐞𝐰𝐬 ⚠️
🇨🇳 | China Expands Digital Yuan Nationwide…
Beijing has officially rolled out the Digital Yuan across major cities, moving one step closer to a fully cash-less economy — and tighter control over capital flows.
📌 A major milestone in China’s… pic.twitter.com/9EtLsj94Ag
— Iran Spectator (@IranSpec) November 2, 2025
Looking ahead, the PBC plans to explore new cross-border solutions using the digital renminbi. This includes promoting cooperation on the multilateral central bank digital currency bridge and developing a dual platform integrating blockchain and digital assets. The initiative could simplify transactions, improve settlement speeds, and create new opportunities for digital finance in Asia.
More About CBDCs
Pakistan has officially adopted the ISO 20022 standard for financial messaging. This is a global framework that enhances interoperability, data richness, and efficiency in payments. Building on this modernization, the country is set to launch its central bank digital currency (CBDC) in 2025, aiming to streamline payments, increase financial inclusion, and strengthen cross-border transactions.
‼️PAKISTAN HAS OFFICIALLY ADOPTED ISO 20022 AND IS SET TO LAUNCH CBDC IN 2025 + THE LARGEST BANK IN PAKISTAN USES RIPPLE’S INTERLEDGER PROTOCOL‼️
Documented.📝👇 pic.twitter.com/6yYW35Az2s
— SMQKE (@SMQKEDQG) September 16, 2025
Supporting this effort, Pakistan’s largest bank has integrated Ripple’s Interledger Protocol. This will enable seamless, real-time transfers across different payment networks. Together, these initiatives position Pakistan as a regional leader in adopting advanced payment infrastructure and digital assets. This signals a major step toward a more connected and efficient financial ecosystem.