MNCs drive expansion of China's CIPS

Cross-border payment system gains more ground on surging global demand

Growing demand from multinationals for diversified cross-border payment routes is driving further expansion of China's Cross-Border Interbank Payment System (CIPS) as foreign firms seek to reduce currency risks and improve liquidity management, bank executives and economists said.

CIPS, the primary platform for cross-border yuan clearing and settlement, has expanded its participant base and service scope in recent years, supported by improved regulations and increasing cross-border renminbi usage. Analysts said the system's development reflects broader efforts to strengthen resilience in cross-border financial arrangements amid intensified geopolitical and economic uncertainties.

By the end of 2025, CIPS had 193 direct and 1,573 indirect participants — spanning 124 countries and regions and up from just 19 and 176, respectively, at its launch a decade ago. The system provides cross-border services to over 5,000 banking institutions across 190 countries and regions, said CIPS Co Ltd, operator of the system.