Guangdong has proposed expanding cross-border digital yuan payment pilots and other cross-border financial programs as part of a draft development plan for the China (Guangdong) Pilot Free Trade Zone.
According to a draft of the China (Guangdong) Pilot Free Trade Zone 15th Five-Year Development Plan (2026–2030) released by the Guangdong Department of Commerce on Aug. 6 for public consultation, the province intends to enlarge financial opening measures while supporting more digital yuan use cases and expanding trials for cross-border e-CNY payments.
The consultation document, which will remain open for public feedback until Sept. 5, also outlines plans to support offshore finance, green finance, cross-border wealth management, venture capital, asset management, futures trading and other financial services within the free trade zone.
Digital yuan cross-border payments form part of financial opening plan
Among the financial proposals, the draft calls for expanding application scenarios for the digital yuan while supporting larger pilot programs for cross-border digital yuan payments and the Cross-boundary Wealth Management Connect scheme.
The document also proposes allowing financial institutions inside the free trade zone to develop products including cross-border supply chain finance and intellectual property pledge financing. At the same time, it seeks to deepen pilot programs covering cross-border credit asset transfers and multi-currency integrated accounts to increase interoperability between cross-border financial products.
Beyond digital currency initiatives, Guangdong said it plans to encourage international financial institutions to establish regional headquarters inside the free trade zone while accelerating projects such as the Greater Bay Area International Commercial Bank and the Guangdong-Hong Kong-Macao Greater Bay Area Insurance Service Center.
Commodity trading also features prominently in the proposal. Authorities said they want to expand trading volumes while strengthening coordinated spot and futures trading for commodities including iron ore, crude oil and rubber to improve pricing capabilities.
Separately, the draft proposes upgrading fintech regulatory pilot programs as part of the province’s financial development agenda.
Recent digital yuan payment trial linked China and Singapore
The proposal follows several recent developments in China’s cross-border digital yuan infrastructure.
Late last month, Mobile Payment Network reported that the Shanghai branch of the Industrial and Commercial Bank of China and ICBC Singapore completed China’s first digital yuan cross-border payment with Singapore through the newly upgraded Digital Currency Express comprehensive settlement platform, also known as CBETS.
The transaction settled nearly 10 million yuan in import shipping fees entirely in digital yuan, with the Singapore recipient receiving the funds on the same day, according to the report.
The payment was completed for a subsidiary of a centrally owned enterprise that regularly imports iron ore and pays overseas shipping charges. Mobile Payment Network said the company previously relied on traditional international transfers involving intermediary banks, longer processing times and foreign exchange costs before adopting the new settlement method.
According to the report, the transaction also expanded ICBC’s digital yuan infrastructure by linking payment and collection services between China, Singapore and Laos through the CBETS platform.
The upgraded platform, developed by the International Operation Center for the digital yuan under the guidance of the People’s Bank of China’s Digital Currency Research Institute, combines several earlier digital currency systems into a unified settlement network supporting centralized and blockchain-based services while using ISO 20022 messaging standards.
Mobile Payment Network also reported that the platform signed direct participant agreements with the first group of 26 financial institutions in June, including ICBC Asia, Bank of China Hong Kong, Standard Chartered China and several overseas ICBC branches operating in Singapore, Thailand, Laos, Macau and Qatar.
Cross-border digital yuan expansion has continued through 2026
Guangdong’s latest proposal comes after Chinese authorities introduced several policy measures to expand the digital yuan beyond domestic retail payments.
Beginning Jan. 1, banks were permitted to pay interest on verified digital yuan wallets after the People’s Bank of China approved the transition of the e-CNY from electronic cash into an interest-bearing digital deposit currency. Under the new framework, verified digital yuan balances receive the same deposit insurance protection as conventional bank deposits, while non-bank payment companies must maintain customer reserves entirely in digital yuan.
At the same time, the central bank announced plans to enlarge cross-border digital yuan pilot programs involving Singapore, Hong Kong, Thailand, the United Arab Emirates and Saudi Arabia.
Earlier, the People’s Bank of China had established the Digital RMB Operation and Management Center alongside the International Operation Center, separating domestic digital yuan operations from international infrastructure development as authorities continued building overseas payment connectivity.
The International Operation Center has since continued expanding participation in digital yuan settlement infrastructure as financial institutions and cross-border trade platforms join new payment networks.
Draft remains open for public consultation
The Guangdong Department of Commerce said the development plan remains a draft and has been published to collect public comments before it is finalized.
According to the department’s announcement, comments and suggested revisions can be submitted by email until Sept. 5, 2026, after which authorities will review the feedback before completing the final version of the province’s development plan.
