Digital yuan set to lift Shanghai's consumer market

The People's Bank of China has been speeding up the development of the digital renminbi since last year, as the central bank recently tested its use and circulation on a large scale in selected regions, including in the commercial powerhouse of Shanghai in East China.

On this year's International Women's Day on March 8, many business complexes in Shanghai have been experimenting with digital yuan payments and settlements, according to local media reports.

According to Li Wei, a spokesman for Shanghai New World Co Ltd, the department store joined hands with the two banks to carry out trial use of the digital yuan with the approval of the People's Bank of China.

The two banks -- the Bank of Communication and China Construction Bank -- rolled out different sales promotion events to encourage the use of the digital currency, Li said. "The digital yuan is a new form of currency and for commercial marketing campaigns, it will have a superimposed effect and bring real discounts to consumers."

Department store employees serving customers said the initiative was a good thing. "Most of the consumers thought the payment method was convenient," said a cashier at Shanghai New World.

The pilot use of the currency has been included in Shanghai's plan for the 14th Five-Year Plan (2021-25) period.

Jin Penghui, deputy director of the Shanghai Head Office of the People's Bank of China, said the city would continue to push forward its development as a financial technology center and promote the digital currency pilot program.