China approves Standard Bank, ICBC for Africa yuan clearing

Source: Reuters.

The move gives businesses and financial institutions direct access to China's onshore financial system for the first time, including capital markets and liquidity infrastructure, streamlining cross-border trade and investment flows.

The People's Bank of China's move is one of many by China to internationalise the yuan and reduce dependence on a global payment system dominated by the US dollar.

Last week, PBOC governor Pan Gongsheng announced measures at the annual Lujiazui Forum in Shanghai to promote offshore yuan business, including authorising six top state banks to conduct offshore yuan transactions in the city's free trade zone.

Standard Bank and ICBC will operate jointly as the "Renminbi Clearing Bank of Africa," with capacity to clear RMB in 19 African countries, Standard Bank said in a statement on Friday, 26 June 2026.

Boosting regional trade

China-Africa trade rose nearly 18% last year, according to Chinese customs data, and Beijing removed all tariffs on imports from 53 African nations on Friday, 1 May 2026.

"China is Africa's largest export market, and with clearing status added to CIPS participation, Standard Bank is even better placed to support Africa's trade with China," said Richard de Roos, head of operations for corporate and investment banking at Standard Bank, predicting further growth in demand.

Standard Bank was the first African bank to join China's Cross-Border Interbank Payment System in November 2025, processing $500m in its first four months, driven primarily by physical trade.

Asian countries are now the preferred trade partners for 35% of businesses across 10 African markets, up from 24% in 2024, according to Standard Bank's Africa Trade Barometer, with China cited as the leading source of inputs by 67% of respondents.