A notice issued by authorities governing the Chinese city of Changshu stated that all civil servants in its jurisdiction will be paid their full salaries in digital RMB or digital yuan from May 2023. 

According to the notice issued by local Chinese authorities, Changshu Local Financial Supervision Bureau and the Changshu Municipal Bureau of Finance, civil servants including public service personnel, public institution personnel and personnel of state-owned units at all levels in the city will be compensated in digital RMB payment.

An on-site staff member of a local hospital reportedly confirmed that the workforce would receive payments in digital yuan starting next month. In addition, reporters were informed that digital yuan settlements can be opted for by the employees through self-service terminals.

On Feb. 6, multiple Chinese city governments previously gave away over 180 million yuan ($26.5 million) worth of the central bank digital currency (CBDC) during the Lunar New Year period to boost adoption.

Jiangsu Province, where the city of Changshu resides, previously initiated a pilot program for digital RMB in Q1 2023. The objective, according to a local report, is to establish an efficient and convenient digital RMB operation and management system by 2025.

Related: China’s central bank includes digital yuan in report on currency circulation

The Chinese government’s push for CBDC adoption has not been well-received by Honk Kong residents. In the first four days of the digital yuan hard wallet launch, only 625 Hongkongers had signed up.

The lack of adoption was evident despite a 20% discount on purchases from 1,400 local vendors — subsidized for the CBDC owners by the government.

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