Building on the model for retail CBDC that the HKMA is jointly investigating with the Hong Kong Centre of the BIS Innovation Hub, the Whitepaper explores potential technical design options for issuing and distributing retail CBDC. The e-HKD will allow the public to use this form of electronic payment to shop, dine or make money transfers. https://www.macaubusiness.com/opinion-the-electronic-hong-kong-dollar-e-hkd-one-more-cbdc-project-in-hong-kong/

Canada - Quebec is shutting down government websites following a cyberattack targeting Hydro-Quebec, among others. The Minister for Digital Transformation, Eric Caire, will officially announce the preventive closure affecting certain government websites, agencies and state companies today. The website of the Ministry of Education is no longer accessible at this time and the provincial government has recommended that institutions in this sector shut down certain computer systems. https://www.thesuburban.com/news/city_news/cyberattack-targeting-hydro-leads-to-quebec-websites-shutdown/article_8d26c1cb-c8c8-5ef6-b689-2f59c720b439.html

India’s central bank has two types of CBDCs in the works, and the government is preparing a legal framework for them. Digital fraud and cybersecurity risks to be safeguarded before roll-out of CBDC. https://www.medianama.com/2021/12/223-rbi-cybersecurity-risks-rolling-out-cbdc/

The Turkish lira has lost roughly 48 percent of its value against the United States dollar this year, experiencing an all-out crash in November. That same month, Turkey’s annual inflation rate jumped to 21.3 percent, according to government statistics. But critics of the government doubt even that eye-watering calculation, pointing to what appear to be far larger increases in the prices of food, rent and energy. https://www.msn.com/en-us/news/world/in-turkey-bread-lines-grow-longer-as-inflation-soars/ar-AARLxbF

Belarusian banks are preparing for tougher Western sanctions by signing up to Russia’s alternative to the SWIFT, the international financial messaging network that underpins the global banking system. Russia’s System for Transfer of Financial Messages (SPFS) has more than 400 domestic users — practically every licensed Russian lender — but is used by only 38 banks from nine other countries. Developed in 2014, SPFS is designed to keep banking transactions in the event of Western sanctions disconnecting Russia from SWIFT. https://www.themoscowtimes.com/2021/12/14/belarus-banks-readying-for-swift-shutdown-reports-a75808

US- HR management solutions provider Kronos, also known as Ultimate Kronos Group (UKG), fell victim to a ransomware attack that impacted healthcare workforce management and payroll services. Shannon Medical Center in San Angelo, Texas confirmed that it had been impacted by the Kronos cyberattack and has since implemented payroll downtime procedures. Other cities affected. https://healthitsecurity.com/news/kronos-cyberattack-takes-down-healthcare-workforce-management-services

Kazakhstan made a name for itself as the safe haven offering refuge to crypto miners fleeing China’s crackdowns. Now, the National Bank of Kazakhstan released a report on the results of its CBDC pilot. The Digital Tenge is a CBDC based on the Corda platform by R3. Other countries such as Sweden and France, have used the same platform for testing CBDCs. https://ambcrypto.com/national-bank-of-kazakhstan-releases-report-on-results-of-cbdc-pilot-project/

Fertilizer prices have more than doubled over the past year, frustrating U.S. farmers, who now are adjusting spring planting plans and warning about the potential for higher food prices. Escalating costs are leading some farmers to shift acres toward less fertilizer-intensive crops, like soybeans, while others said they plan to cut back on their overall fertilizer use, potentially reducing future harvests. https://www.wsj.com/articles/surging-fertilizer-costs-push-farmers-to-shift-planting-plans-raise-prices-11639580768

Russians have bought a record amount of gold since 2014, the Russian media has reported. They bought four tonnes of gold bullion and coins in the past nine months, which is 8% more when compared to the previous year. https://sputniknews.com/20211211/gold-rush-russians-reportedly-buy-record-amount-of-precious-metal-since-2014-1091436896.html

US - Maryland health officials haven’t reported the total number of COVID-19 cases, or specific variants, since a cybersecurity breach more than 10 days ago. That means local health departments and hospitals are struggling to predict what may happen in the coming days, never mind what more may occur this winter, when the current surge may accelerate. https://www.baltimoresun.com/coronavirus/bs-hs-covid-spreads-20211215-jqmebl2hdffvdmacz7nhkkepue-story.html

Russia -The central bank is in discussions with market players regarding a possible ban. If approved by lawmakers, the ban would only apply to new purchases of crypto assets not to past purchases. Russia has been vocal in its stance against against cryptocurrencies, stating that the asset can be used for money laundering or to finance terrorism. Bank of Russia’s current position is a “complete rejection” of all cryptocurrencies, the report says citing a source close to the bank. https://finance.yahoo.com/news/russian-central-bank-seeks-ban-132133730.html

China's customs authority published new food safety rules in April stipulating all food manufacturing, processing and storage facilities abroad need to be registered by year-end for their goods to access the Chinese market. But detailed procedures explaining how to get the required registration codes were only issued in October, while a website for companies allowed to self-register went online last month.
"We're heading for major disruptions after Jan. 1," said a Beijing-based diplomat from a European country who is assisting food producers with the new measures. https://www.reuters.com/markets/commodities/new-china-import-rules-bring-headaches-food-beverage-makers-2021-12-13/

Ireland - The Coombe Hospital has been the subject of a ransomware cyberattack overnight, the hospital has confirmed. The hospital isolated and locked down its IT services once the attack was discovered “on a precautionary basis” and is working with the HSE to resolve the issue. https://www.independent.ie/news/ransomware-cyberattack-hits-coombe-hospital-it-services-locked-down-as-precaution-41156106.html

Russia and China will develop shared financial structures to enable them to deepen economic ties in a way that foreign states will be unable to influence.
The move appears to be a response to a series of warnings that Western nations could push to disconnect Russia from the Brussels-based SWIFT financial system as a form of sanctions. The payment platform underpins the vast majority of international transactions. Russian President Vladimir Putin and his Chinese counterpart Xi Jinping called for increasing the share of national currencies in mutual settlements and expanding cooperation to provide Russian and Chinese investors with access to stock markets. https://www.rt.com/russia/543258-moscow-china-create-independent-structure/

India- The regulation of private cryptocurrencies has become an area of focus of late, with the central bank warning the government against allowing them even as the latter introduces legislation to regulate cryptos. The serve Bank of India (RBI) has taken a more positive view of CBDCs and is planning to introduce two variants of it. A wholesale account-based one and a retail one. https://www.msn.com/en-in/news/other/rbi-central-board-discusses-cbdc-crypto/ar-AARVvMQ

In a groundbreaking experiment led by Banque de France, financial and technology leaders HSBC and IBM respectively achieved direct ledger interoperability and conducted a host of effective transactions across digital assets and currencies. As part of the trial, cross-border, cross-asset, security-based, cross ledger, foreign exchange, cross-CBDC & digital currency transactions were tested. https://cbdcinsider.com/2021/12/17/hsbc-and-ibm-conduct-successful-cbdc-experiments-on-cross-cloud-environment/

Russia runs the risk of being completely shut out of SWIFT, a major global payment system, the EU has warned amid claims in the West that Moscow is planning a strike on its neighbor. In a resolution adopted by the European Parliament condemning an alleged build-up of Russian troops and hardware on the shared border, Brussels noted that it must be poised to send “a very stark warning that military hostilities will not only be unacceptable, but also come at a high economic and political price.” https://www.rt.com/russia/543532-eu-plan-swift-cut/

Russia is considering imposing a higher tax on wheat exports, based on a formula that links the tax rise to increases in the price of the commodity. Under the formula, the tax will rise if prices reach $375 a ton and again if they hit $400 a ton. Russia could revise the formula for the tax if there is a significant increase in global prices. Russia also plans to set a grain-export quota again in the first half of next year. https://www.bloomberg.com/news/articles/2021-12-19/russia-proposes-to-increase-tax-on-wheat-exports-if-price-rises

European power prices surged to record highs over the past couple of days after France announced the closure of four of its largest nuclear reactors. The crisis is further exacerbated by already very high prices of natural gas and cold temperatures. By the end of the month, most of the continent will endure below average temperatures, further increasing power demand. https://watchers.news/2021/12/20/electricity-prices-europe-record-highs-december-2021/

European member states certified house crickets, yellow mealworms, and grasshoppers as food fit to be sold at supermarkets. The bugs will be sold in frozen, dried, and powdered forms and will be packed with nutrients and low-cost. Earlier this month, the World Economic Forum published two articles explaining how people must get used to eating bugs. Those who can no longer afford meat, such as ham or turkey, and other traditional holiday foods will come to find a new substitute. https://www.zerohedge.com/commodities/food-inflation-grinch-spoils-christmas-cheer

The Belgian Ministry of Defense has confirmed a cyberattack on its networks that involved the Log4j vulnerability. In a statement, the Defense Ministry said it discovered an attack on its computer network with internet access on Thursday. They did not say if it was a ransomware attack but explained that "quarantine measures" were quickly put in place to "contain the infected elements." https://www.zdnet.com/article/belgian-defense-ministry-confirms-cyberattack-through-log4j-exploitation/