United Overseas Bank (UOB) will now offer one-stop cross-border renminbi payment services to institutions outside and within China, after its subsidiary UOB China inked agreements to participate in China’s Cross-border Interbank Payment System (CIPS).

Clients of UOB will be able to access real-time gross settlement and remittance, while reducing intermediate steps with lower payment and clearing costs.

By participating in China’s CIPS, UOB has expanded its trading network by connecting more than 1,600 CIPS participants globally and handling cross-border renminbi payments and settlements on behalf of indirect participants.

“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,” says So Lay Hua, head of group transition banking, UOB. “In addition, it contributes to Singapore’s role as a regional financial services hub and offshore RMB centre."

Meanwhile, DBS Bank has been a direct participant of China's CIPS since 2015, according to the bank. DBS says that in 2024, its CIPS-related transaction volumes grew more than 30% y-o-y, and DBS China ranked first among foreign banks for the number of new third-party indirect participants added to the CIPS network.

Shares in UOB closed 12 cents lower or 0.343% down at $34.83 on June 18.