Ecobank is Pushing for Yuan Settlement Plan with Bank of China

Pan-African lender says proposed system would allow customers to settle transactions directly in Chinese yuan instead of routing payments through the U.S. dollar, as it expands its China presence and invests in new payment infrastructure amid rising trade and financial ties between Africa and China.

Pan-African lender Ecobank is in talks with Bank of China to launch a direct local-currency-to-yuan settlement product by the end of the year, its chief executive said, as trade between Africa and China continues to expand and reshape payment flows.

The proposed system would allow customers to settle transactions in Chinese yuan without routing payments through the U.S. dollar, according to the lender.

“We are looking at opportunities for us to settle with, instead of going through the dollar, we do it directly with the Chinese yuan,” Ecobank Group Chief Executive Jeremy Awori told Reuters, citing rising demand from African small and medium-sized enterprises doing business with China.

“You need the right tools and payment mechanisms to be ⁠able to do that. We’re investing in those.”

The talks come as African banks and governments increasingly explore alternatives to dollar-based trade settlement, including greater use of the Chinese currency, as China strengthens its commercial footprint across the continent.

Expanding trade ties between China and Africa have prompted lenders to upgrade cross-border payment infrastructure. South Africa’s Standard Bank said last November it had been authorised to use China’s Cross-Border Interbank Payment System, or CIPS, effectively allowing yuan-based settlement for clients.

Some African economies have also tested yuan-linked arrangements in specific sectors, including Kenya’s conversion of Chinese railway debt into yuan and Zambia’s use of the currency for mining royalties.

The push aligns with Beijing’s broader effort to internationalise the yuan and deepen financial links with Africa. China is also expanding tariff-free access for goods from 53 African countries with diplomatic relations.

“When you look at all the natural resources that exist on the continent, especially in energy, mining, oil and gas, China has also got a ⁠lot of interest and investments,” Awori said.

He added that African businesses have long complained about the cost of converting local currencies into dollars before paying suppliers in China.

Ecobank, which operates in more than 33 African countries, is expanding its China office to support growing cross-border trade, though Awori did not disclose investment or staffing plans.

The lender is also investing in digital infrastructure as it seeks to improve efficiency across its network.

Ecobank said it is making “significant” investments this year in its ATM network, data centres and digital lending platforms, and has partnered with Google to upgrade its payments systems.

The bank is resuming dividend payments this year for the first time since 2022, following stronger revenue and profit growth in 2025.

Its corporate and investment banking unit posted a 40% rise in pretax profit, supported by sovereign debt restructuring mandates in Gabon and Benin and a financing deal in Uganda worth more than 200 million euros with South Africa’s DBSA.

Awori said global economic uncertainty, including geopolitical tensions in the Middle East, made the outlook difficult to predict, but added the bank would continue focusing on efficiency and growth.

“Global macros are subject to change at very short notice,” he said.

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