Growing use of RMB settlement reflects deepening China-Africa economic cooperation

China's Cross-Border Interbank Payment System (CIPS) processed more than $1 billion in transactions through Standard Bank during its first year of operation, highlighting the growing scale of trade and financial cooperation between China and Africa.

Standard Bank, Africa's largest bank by assets, became the first African bank to offer direct access to CIPS after receiving approval in June 2025. Since then, the bank has expanded the service beyond South Africa to Angola, Ghana, Kenya, Lesotho and Tanzania, enabling businesses across key African markets to settle cross-border trade more efficiently in China's renminbi (RMB).

The milestone reflects the increasing use of RMB settlement as trade between China and Africa continues to expand.

"The payment system's rapid scale is clear," said Ontiretse Modise, head of payments for corporate and investment banking at Standard Bank. "We see CIPS as a critical enabler of this transformation, strengthening Africa's connectivity to global markets."

The expanding use of CIPS comes as economic ties between China and African countries deepen across sectors including mining, agriculture, manufacturing, infrastructure and technology. Faster RMB settlement is expected to support businesses by improving payment efficiency and facilitating smoother commercial transactions.

Standard Bank's latest Africa Trade Barometer also points to a growing shift in African trade preferences toward Asia. According to the survey, 35 percent of African businesses now identify Asian countries as their preferred trading partners, compared with 24 percent in 2024.

China continues to play a leading role in the continent's import market, with 67 percent of surveyed businesses naming it as their primary source of imports. Respondents cited competitive pricing, a wide range of products and reliable supply chains as the key factors driving their purchasing decisions.

As trade volumes grow, financial infrastructure such as CIPS is expected to play an increasingly important role in supporting economic cooperation between China and Africa, providing businesses with more efficient and convenient cross-border payment solutions while strengthening commercial connectivity between the two sides.