Ecobank Seeks Direct Yuan Settlement with Bank of China
Ecobank is in talks with Bank of China to launch direct yuan settlements by year end. The move aims to lower costs for African firms trading with China.
The Pan-African lender ECOBANK TRANSNATIONAL INC is currently in discussions with BANK OF CHINA LTD-H to launch a direct local-currency-to-yuan settlement product. This initiative, expected to debut by the end of the year, reflects the intensifying trade and commercial relationships between the African continent and China.
Based in Togo, the majority state-owned Chinese lender and its African partner are responding to a growing trend where regional markets seek alternatives to the U.S. dollar for international transactions. Jeremy Awori, the group CEO of the bank, noted that many small and medium-sized enterprises are increasingly looking toward Chinese markets for growth opportunities.
