Are we doomed to end up like the ancient civilisation dwelling on Easter island, which prospered for hundreds of years, living off a tree whose reproductive cycle exceeded the life-time of an individual, and for which reason no one had ever bothered to replant as existing trees died off? The second question probably provides a clue towards understanding the issue surrounding the first. If a section of society makes a sacrifice to reform, the benefits derived in the process may accrue to the rest of society in a greater proportion than to the people making the sacrifice. The obvious solution to this dilemma would be for all sectors of society to share in the costs and benefits of reform in an equitable manner. And this is where Government and all the other social partners have a crucial role to play. It is to take the lead in agreeing on a programme of reforms and carrying their respective constituencies with them. The Malta Council for Economic and Social Development could, I believe, provide a congenial forum for this purpose. But try we must because the challenge is a formidable one and we should not labour under any illusion that it can be wished away. This is not a time for carrying on as usual. Nor is it a time for behaving as though the universal laws of economics or current world realities do not apply to us.
Its implementation would entail far-reaching implications on a wide range of issues relating to areas such as legal, regulatory, policy, financial stability, privacy, cybersecurity, and interaction with existing payment methods. We also understand that e-HKD would be a critical and complex financial infrastructure project that may take years to complete. Therefore, we announced in September last year that we would adopt a three-rail approach to pave the way for possible implementation of e-HKD: Rail 1 aims to lay the technology and legal foundations for supporting the implementation of e-HKD. Rail 2 focuses on application research and pilots, and it runs in parallel with Rail 1. Rail 3 is concerned about launching e-HKD, which will depend on the actual progress made under Rail 1 and Rail 2, as well as the pace of relevant market development. This comprehensive three-rail approach will ensure that Hong Kong continues to play a leading role in the global financial landscape by getting ourselves ready as best as we can in terms of implementing retail CBDC. 1/3  BIS - Central bankers' speeches  e-HKD Pilot Programme Today's event marks the commencement of the e-HKD Pilot Programme, which is a key component under Rail 2. It is a tremendous opportunity for the HKMA to work with the industry to consider different use cases and design choices, and co-create new payment functionalities and infrastructures that could add value to society. We look forward to this public-private partnership in shaping the future of money in Hong Kong.