China Economy: Promoting an Interbank System for Financial Security against Swift Risks
Thursday, 15 August 2024, 12:30
Promoting the Interbank System
To safeguard its financial security, China must enhance its indigenous cross-border interbank system, the Cross-Border Interbank Payment System (CIPS), according to a senior researcher at the Agricultural Bank of China. The challenges posed by the US-dominated monetary system and the deterioration of China-US relations require urgent action.
Risks and Opportunities
- The US threatens to exclude Chinese banks from the global financial system.
- Alternatives to the SWIFT system are increasingly sought after by nations.
- Participation in CIPS is essential to undermine SWIFT’s longstanding dominance.
According to Yuan Benxiang, the rapid advancements in global relations create opportunities for improving yuan transactions.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.