UAE Central Bank Signs MoU with CIPS; First Abu Dhabi Bank Becomes a Direct Participant in CIPS

According to WAM & CCTV on 19 June, during the CIPS Cross-Border Bank-Enterprise Cooperation event held in Shanghai on 18 June, the Cross-Border Interbank Payment System (CIPS) signed direct-participant agreements with six foreign institutions, including Standard Bank, the African Export-Import Bank, First Abu Dhabi Bank, Kyrgyzstan Bank, and United Overseas Bank. First Abu Dhabi Bank’s participation marks the first time CIPS has on-boarded foreign direct participants in Africa, the Middle East, Central Asia, and Singapore’s offshore RMB center, further facilitating cross-border RMB usage.

Additionally, the Central Bank of the UAE and China’s Cross-Border Interbank Payment System Co., Ltd. signed a Memorandum of Understanding to strengthen cooperation in payment infrastructure and improve the efficiency of cross-border payments between the UAE and China. As part of the MoU, the two sides will develop plans to promote a more seamless, simpler, and cost-effective use of payment infrastructure in cross-border transactions. They will also enhance cooperation on risk management and compliance to improve the security and stability of cross-border payment infrastructure.