The Hong Kong Monetary Authority has made an announcement for publishing Fintech 2025 plan and central bank digital currencies that include trade and wholesale. These are included in the digital Finance innovation packages to unveil the fintech strategy through the release that has been made on Tuesday. CBDC will also play an essential role in the goal of city administration while promoting comprehensive digital finance by 2025. While relating to its plans for the central bank digital currencies, the HKMA has announced that it will augment its research efforts to make sure the readiness of Hong Kong to float both trade and wholesale CBDCs.
According to the declaration made, it has been stated that HKMA is going to work together with the Bank for International Settlement with the purpose to investigate a retail digital Hong Kong dollar currency. The HKMA has also stated that it will carry on to work with China’s central bank on the cross-border operation of the digital currency electronic payment project.
The expanded plan of CBDC is actually the main focal point in the fintech strategy of Hong Kong, and various other areas include the city banks embrace digital finance technology while creating a durable data infrastructure with the motive to support the fintech expansion.
Hong Kong also wants to hold up the complete fintech revamp with the policies that are directed by the government while putting down the foundation to expand a skilled workforce for the novel digital finance paradigm.
Amid has also enhanced the focus of Fintech while moving towards restricted access to cryptocurrencies. The Financial Services of the city and the Treasury bureau have issued a policy while making the proposal in May to restrict crypto trading for qualified investors with portfolios worth $1 million.