Shanghai’s Pudong New Area is set to undergo a comprehensive modernization plan, which includes extensive pilot projects for the digital yuan and the development of new international trade facilities.
The ambitious five-year plan, issued by the Chinese Communist Party Central Committee and General Office of the State Council, aims to transform Pudong into a global hub for innovation, trade, and finance.
According to a document published by the state-run Xinhua News Agency, the Pudong New Area will be granted new authorities to facilitate its development into an international hub.
This includes enhancing supply chain management through newly constructed port facilities, nearby free trade zones, and Shanghai Pudong International Airport.
The plan also emphasizes the establishment of new educational institutions for research and development, world-class medical and educational facilities.
China hopes to attract foreign talent from countries participating in China’s Belt & Road Initiative under a special visa regime.
These innovations will serve as a backdrop for the implementation of new applications of the digital yuan, also known as the digital renminbi.
The plan outlines the use cases for the digital yuan, such as its use in trade settlement, e-commerce payments, carbon trading.
China has been actively developing use cases for the digital yuan, integrating it with several foreign banks and utilizing it for gold and petroleum deals on Shanghai exchanges.