In a move expected to strengthen yuan-denominated transactions across its African markets as trade between the continent and China continues to expand, Ecobank is preparing to join China’s Cross-Border Interbank Payment System (CIPS).
The planned move comes as African lenders explore alternatives to conventional dollar-based payment arrangements for trade with China, one of the continent’s major commercial partners.
Ecobank Chief Executive Officer, Jeremy Awori, said the bank would sign an agreement to participate in the Chinese payment network during a visit to China on Saturday. He described the initiative as a step towards integrating the bank’s payment infrastructure with China’s financial system.
“This cooperation really strengthens the link between the Chinese RMB payment infrastructure and our African banking platform and payment infrastructure, which is obviously critical,” Awori said.
CIPS provides infrastructure for settling international payments in renminbi, the official name of China’s currency, commonly known as the yuan. According to Awori, the network connects more than 5,000 banks across over 100 countries and territories.
By joining the system, Ecobank could expand the payment options available to African companies importing goods from China, as well as businesses conducting other transactions with Chinese partners.
The lender is also negotiating a separate arrangement with Bank of China to jointly offer yuan settlement services. Awori said an announcement on the proposed partnership was expected soon.
The two initiatives could strengthen Ecobank’s capacity to facilitate payments between African customers and Chinese businesses, although the actual benefits will depend on the services introduced and the availability of yuan in the markets where the bank operates.
African Lenders Pursue Alternative Payment Channels
Ecobank’s planned participation follows similar efforts by other African financial institutions to develop payment links with China and make transactions in its currency more accessible.
South Africa’s Standard Bank became the first African lender to connect to CIPS in November 2025. It subsequently secured authorisation from the Industrial and Commercial Bank of China to clear yuan transactions across the continent, according to the report.
Rwanda’s Bank of Kigali has also joined the network, while Angola’s Banco de Fomento Angola is planning to participate.
These developments point to growing interest in diversifying cross-border payment arrangements, particularly among financial institutions serving businesses with substantial Chinese trade exposure.
For importers, settling invoices directly in yuan could eliminate some of the currency-conversion stages associated with routing payments through another currency. Depending on exchange rates, fees and the availability of funds, this could make some transactions more efficient.
However, using the yuan does not automatically guarantee cheaper payments. Businesses must still consider conversion costs, access to the Chinese currency, regulatory requirements and whether their trading partners are willing to accept settlement in renminbi.
The dollar also retains its dominant position in international finance, meaning the expansion of yuan-based transactions is more likely to provide an additional option than immediately displace existing payment arrangements.
Growing Trade Underpins China-Africa Financial Ties
The push to establish more direct payment connections reflects the scale of economic engagement between China and African countries.
Chinese customs data showed that bilateral trade rose by nearly 18 per cent in 2025, according to the report. The increase underscores the commercial significance of the relationship and the demand for financial services capable of supporting transactions between businesses on both sides.
Beijing also removed tariffs on imports from 53 African countries from May 1, according to the report, creating another potential avenue for expanding commercial exchanges.
For Ecobank, whose operations span 34 African countries, the planned CIPS integration could extend yuan payment services to businesses across multiple markets, subject to implementation and local regulatory arrangements.
The proposed collaboration with Bank of China could further support this ambition by strengthening the provision of yuan settlement services to the bank’s customers.
Nevertheless, expanding payment infrastructure is only one part of the process of increasing the yuan’s use in African commerce. Broader adoption will depend on the availability of the currency, the depth of foreign-exchange markets, the cost of transactions and the willingness of companies to invoice their trade in yuan.
The developments nevertheless signal a gradual expansion of financial channels connecting African economies to China. For businesses trading with Chinese counterparts, greater access to yuan settlement could provide more flexibility in managing payments, even as the dollar continues to play a central role in international commerce.
