Overseas media: China's payment system accelerates its layout in Africa and Asia
China is accelerating the expansion of the global influence of the Cross-border Interbank Payment System (CIPS). Recently, six financial institutions from Africa, Central Asia, and the Middle East have officially become direct participants, including the African Export-Import Bank, First Abu Dhabi Bank, Standard Bank of South Africa, United Overseas Bank of Singapore, Eldik Bank of Kyrgyzstan, and Zhonghua Financial Asset Exchange of Macao.
CIPS, as an alternative to the SWIFT system, has been continuously developing since its launch in 2015. As of the end of May this year, there are already 174 direct participant institutions, but most are still Chinese banks and international bank branches in China. Direct participants have CIPS accounts and can directly complete cross-border RMB settlements, while indirect participants need to rely on others to complete transactions.
This move aims to reduce reliance on the dollar system and guard against potential US financial sanctions risks.
Original article: https://www.toutiao.com/article/1835374680586248/
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