UOB and its wholly owned subsidiary UOB China have signed agreements to become direct participants of China’s Cross-border Interbank Payment System (CIPS).
This strengthens their ability to support cross-border renminbi (RMB) transactions.
CIPS, authorised by the People’s Bank of China, facilitates RMB-denominated trade, investment, and other cross-border payments.
As of May 2025, it connects 174 direct and 1,509 indirect participants globally.
With this access, UOB will offer RMB clearing, settlement, and payment services to businesses and financial institutions in and outside China.
The bank said this enables real-time gross settlement and reduces intermediary steps, helping clients lower payment and clearing costs.
UOB will also process RMB transactions on behalf of indirect participants through CIPS’ global network of over 1,600 institutions.
To support regional businesses, UOB China has introduced RMB-focused solutions such as cross-border cash sweeping, liquidity management, trade financing, and investment and escrow services.
In January 2025, it completed what it described as the first RMB cross-border refinancing transaction by a foreign bank in China, aimed at helping importers and exporters manage working capital.
So Lay Hua, Head of Group Transaction Banking, UOB, said,
“UOB is honoured to be a direct overseas participant of CIPS, which will significantly enhance our capability to serve regional clients in their RMB businesses. Tapping on our extensive network and transaction capabilities, we will continually deliver efficient, transparent and cost-effective services to our clients.
This positions us to achieve our vision of being the top transaction bank of choice in ASEAN. In addition, it contributes to Singapore’s role as a regional financial services hub and offshore RMB centre.”
Featured image: Edited by Fintech News Singapore, based on image by UOB
