Hong Kong Expands Digital Yuan Integration, Plans Wallet Upgrades and Higher Transaction Limits

Hong Kong is accelerating the rollout of China’s digital yuan (e-CNY) infrastructure, expanding merchant acceptance and exploring higher wallet limits to enhance cross-border payment efficiency. Authorities are working with the People’s Bank of China (PBoC) to strengthen interoperability between Hong Kong and mainland China as part of efforts to deepen financial integration.

Since the e-CNY pilot expanded in May 2024, the number of local retailers accepting the digital currency has steadily increased. Financial Secretary Christopher Hui described the initiative as a key step toward offering residents a secure, convenient, and innovative payment option, improving both user experience and cross-border transaction efficiency.

Currently, Hong Kong’s e-CNY wallets are limited to RMB 2,000 per transaction, RMB 10,000 in balance, and RMB 50,000 annually — thresholds designed for simplified, non-real-name registration. However, officials have confirmed that discussions with the PBoC are underway to raise these caps and enhance wallet features. The upgrades could enable greater usability for frequent travelers and businesses while aligning Hong Kong’s digital yuan framework with mainland standards.

The Hong Kong Monetary Authority (HKMA) continues to engage local banks and merchants to expand e-CNY acceptance, emphasizing its value in improving cross-border trade and consumer payments. The government is also positioning the digital yuan within broader financial initiatives, including participation in the Multiple Central Bank Digital Currency Bridge (mBridge) project, which reached its MVP stage in June 2024 to facilitate low-cost, real-time settlements among participating economies.

Future developments aim to expand e-CNY applications beyond retail use — including supply chain finance, wage payments, and enterprise transactions. As discussions progress, Hong Kong’s evolving role as a regional testing ground for China’s digital currency could significantly influence the international adoption and modernization of cross-border payment systems.