Ecobank to join Chinese payment platform

By Agency

KAMPALA – Ecobank agreed to partner with China’s payment system to enable settlements in yuan. The Togo-based bank, which operates in 34 African countries — more than any other continental lender — will sign an agreement this month to join the China Interbank Payment System (CIPS).

South Africa’s Standard Bank and the African Export Import Bank have taken the same step in the last year. The move follows increasing demand from businesses on the continent to transact and settle deals using China’s currency.

An 18% rise in China-Africa trade last year — marked by a surge in the continent’s imports of Chinese solar power equipment — underscored the growing commercial relationship between both parties, highlighting the appeal of financial systems that make transactions easier to complete.

China this year removed tariffs for imports from all African countries except Eswatini. Its move to expand bank integrations with its payments system furthers a BRICS-led push against the US dollar’s dominance in international trade.