ICBC Pioneers Use of Digital Renminbi for Logistics Applications in Zhejiang Province


China’s biggest bank is trialling the use of the digital renminbi for logistics applications in the affluent eastern coastal province of Zhejiang.

The Industrial and Commercial Bank of China (ICBC) has teamed up with Zhejiang Transfar Co., Ltd. to explore the application of the digital renminbi to “B-end logistic ecosystem scenarios,” as well as the broader use of the digital renminbi in Zhejiang Transfar’s business operations.

ICBC and Zhejiang Transfar said that their strategic cooperation has the goal of “energising the digital transformation and upgrade of the logistics sector.”

Zhejiang Transfar’s Hangzhou facilities already make extensive use of the digital renminbi for logistics orders, shipment insurance, warehouse leasing, car park fees and utilities payments.

“It’s very convenient,” said a member of staff at the facility to 21st Century Business Herald. “Meals, accommodation, transport as well as daily business activities all support use of the digital renminbi.

“The payments speed is very fast, and with offline payments account transfers can be made just by tapping.”

“ICBC, as a designated operating institution for the digital renminbi, already has several dozen digital renminbi research and development accomplishment and applications,” said Shi Xiaohui (施晓晖), deputy-head of the Hangzhou branch of ICBC.

“The goal of this collaboration with Transfar on new applications for the digital renminbi has the goal of creating a more convenient and efficient smart services ecosystem for the logistics sector.”