Civil servants, public institutions and state-owned unit personnel at all levels across the city will be compensated in digital yuan.

The Chinese city of Changshu said all civil servants under its jurisdiction will be paid their full salaries in digital yuan starting May 2023, according to local reports.

According to a notice issued by the city’s financial sector, civil servants, including public institutions, and state-owned units at all levels will be compensated with digital yuan.

According to reports, on-site staff at a local hospital confirmed that starting next month, employees will receive digital RMB payments. In addition, reporters learned that employees can choose to settle digital RMB through self-service terminals.

On February 6, multiple Chinese city governments gave away more than 180 million yuan ($26.5 million) worth of central bank digital currencies (CBDCs) during Lunar New Year celebrations to promote adoption.

Jiangsu Province, where Changshu is located, previously launched a digital RMB pilot program in the first quarter of 2023. According to local reports, its goal is to establish an efficient and convenient operation and management system by 2025.

The Chinese government’s push to adopt a CBDC has not been well received by Hong Kong residents. In the first four days of the hard launch of the digital yuan wallet, only 625 residents signed up.

Despite a 20% discount for purchases from 1,400 local vendors — a government subsidy for CBDC holders — the lack of adoption is evident.