Can the Chinese yuan become a true alternative to the US dollar for African businesses trading with China? That question looms large after pan-African banking group Ecobank signed a memorandum of understanding with China’s Cross-Border Interbank Payment System (CIPS) in Beijing on October 10, 2026. The agreement aims to streamline renminbi settlements between African companies and their Chinese counterparts. The signing took place on the sidelines of an official visit to China by Togolese Council President Faure Gnassingbé, with Togo’s Minister of Finance and Budget, Essowè Georges Barcola, in attendance.
What the Ecobank-CIPS agreement actually changes
The deal is designed to expand payment and clearing capacity in yuan between the two regions, simplify cross-border settlements, and give businesses better access to financial networks. Ecobank, headquartered in Lomé and operating in 34 African markets, wants to serve importers, exporters, and investors active along the China-Africa corridor more effectively.
Why cross-border payments remain a hurdle
For companies, international payments often mean delays, fees, and multiple currency conversions. Using the yuan offers an additional option to settle certain trade transactions directly with China. It can reduce the complexity of those transactions, even though the agreement does not mean all payments between Africa and China will now be made in Chinese currency.
The bigger picture: a booming trade relationship
The partnership reflects the rapid growth of Sino-African trade, which reached around $348 billion in 2025, according to data cited by Ecobank and Ecofin Agency. China remains the continent’s largest trading partner. In this context, payment and settlement infrastructure is becoming a key issue for businesses trading between the two regions.
Ecobank’s long-term strategy in China
Ecobank has had a presence in China since 2012 and is opening new offices in Beijing. This location serves as a contact point for Chinese companies, financial institutions, and investors looking to expand their activities in Africa. The group also relies on dedicated teams for Chinese clients in West, Central, and East Africa, as well as its trade finance, payment, and cash management services.
More than just CIPS: a web of partnerships
The CIPS partnership adds to other Ecobank initiatives, including its cooperation with Bank of China (Mauritius) and cross-border payment platforms such as XTransfer, YeePay, and WorldFirst. It is part of a strategy to better connect the group’s African banking network with Chinese businesses.
Yuan internationalization: a complement, not a replacement
This development contributes to the internationalization of the yuan and the diversification of settlement methods. However, it does not mean the dollar will immediately lose its dominant place in global trade: yuan payments constitute an additional channel, whose scale will depend on adoption by businesses and banks.