Article: Lonwabo Mtyeku | GP News Media – Community Newsroom Images: Supplied
Johannesburg, 20 November 2025 — In a landmark development for South–South financial integration, Standard Bank — Africa’s largest bank by assets — has become the first authorised African institution to execute live transactions through China’s Cross-Border Interbank Payment System (CIPS).
The milestone follows the bank’s licensing announcement at the prestigious Lujiazui Forum in Shanghai in June. CIPS is now officially live on Standard Bank platforms, marking a transformative moment in how Africa and China clear and settle payments.
The system was formally inaugurated during a ceremony held at the South African Reserve Bank (SARB), attended by key financial leaders including Lesetja Kganyago, Governor of the SARB; Pan Gongsheng, Governor of the People’s Bank of China (PBOC); and Wang Hongbo, Chairman of CIPS. Both Governors underscored the strategic significance of the platform in modernising and streamlining bilateral commerce.
A New Era for Africa–China Trade Transactions
CIPS allows banks and financial institutions to process cross-border payments directly in Chinese Renminbi (RMB), eliminating the need for multiple currencies in clearing and settlement. This reduces transaction complexity, speeds up processing, and lowers costs — an essential advantage for African businesses trading with China.
“We are keen advocates for Africa’s growth, and this new service is tailored to provide solutions that meet our clients’ needs where they operate,” says Crosby Mkhwanazi, Head of Client Coverage at Standard Bank Corporate & Investment Banking. “CIPS will enable more integration with a key trading partner and offer our clients diverse options for optimising their operations.”
The timing is significant. According to the Standard Bank Trade Barometer 2024, 34% of businesses surveyed source imports from China, up from 23% just a year earlier. China also remains Africa’s largest export destination, making fluid, secure, and cost-effective payment mechanisms central to trade growth.
Boosting Efficiency for Africa’s Most Important Trade Corridor
By offering direct RMB clearance, CIPS streamlines one of Africa’s busiest trade channels — reducing friction in transactions and accelerating settlement times for importers, exporters, and financial institutions.
The system is also expected to strengthen Africa’s participation in global value chains by enabling:
- Faster cross-border payments
- Greater transparency and security in settlements
- Reduced dependency on third-currency intermediaries
- Enhanced competitiveness for African firms transacting with China
CIPS is globally recognised for supporting high-value trade flows, and its introduction through Standard Bank marks a new level of financial infrastructure alignment between Africa and China.
Driving Innovation in Cross-Border Payments
Mkhwanazi highlights that CIPS is part of a broader wave of innovation sweeping the payments sector:
“We are confident in the continued evolution of the payments environment. CIPS is a seminal touchpoint for the broader development that continues to proceed at pace, and we will continue to work to provide innovative client solutions.”
CIPS Now Available to Standard Bank Clients
Businesses across Africa can now access CIPS through Standard Bank’s digital and corporate banking platforms, strengthening their ability to trade and compete in global markets with efficiency and speed.
With this pioneering move, Standard Bank continues to cement its role as a bridge between Africa and the world — and now, more than ever, between Africa and China’s expanding financial ecosystem.
