A significant Chinese financial institution, Industrial Bank, has unveiled a new incentive program aimed at promoting the usage of the digital yuan. According to reports from CICC Online, the bank will now grant “personal carbon account points” to verified digital yuan wallet users whenever they utilize its app to conduct transactions with the CBDC.
Major Chinese Bank: Digital Yuan and Green Finance Are Complimentary
Customers will accumulate carbon points when they engage in e-CNY retail transactions through the app. Moreover, they can earn points by utilizing digital yuan tokens for activities such as “fund purchases and credit card payments.”
Last year, several Chinese banks initiated personal carbon points platforms with the aim of bolstering green finance initiatives and reducing emissions. This program aligns with the nation’s commitment to achieve carbon neutrality by 2060. Local governments leverage the initiative to incentivize citizens to opt for public transportation over private vehicles.
Participants can also acquire points by participating in tree-planting campaigns and recycling initiatives. These accumulated points can subsequently be exchanged for prepaid travel card credits and shopping vouchers.
A representative from the Digital Yuan Department at Industrial Bank emphasized the significance of integrating green finance with the digital yuan, stating, “Digital RMB wallets and carbon accounts are driving innovative progress in digital and green finance within China. The convergence of green finance with the digital yuan will yield synergistic benefits, fostering the growth of a green economy and a new digital yuan ecosystem.”
The bank expressed its intention to broaden its operations in the intersection of green finance and the digital yuan, highlighting recent achievements. In Fuzhou, the bank utilized the CBDC to facilitate a pioneering initiative in Fujian Province by participating in a digital yuan-funded marine fishery carbon sink purchase.
Meanwhile, in Suzhou, the bank reported issuing approximately $967 million worth of digital yuan loans related to green finance.
Industrial Bank disclosed that its clientele has established nearly 7.3 million digital wallets, facilitating transactions totaling over $41 billion.
Since its official introduction in 2020 across four cities, the digital yuan pilot has expanded to encompass 27 mainland cities and provinces, as well as Hong Kong and Macau.
Industrial Bank, a predominantly state-owned institution headquartered in Fuzhou, Fujian Province, secured the 60th position in the Forbes Global 2000 rankings last year.
