China’s campaign to expand the global use of the yuan is gaining fresh momentum in Africa, with Angola becoming the latest country to deepen its integration with Beijing’s financial system as one of its biggest commercial banks prepares to join China’s Cross-Border Interbank Payment System (CIPS).
Banco de Fomento Angola (BFA), the country’s second-largest commercial lender, plans to become the first Angolan bank to connect directly to CIPS by next year, responding to growing demand from businesses trading with China.
The decision marks another step in Africa’s gradual shift towards settling more cross-border transactions in China’s currency rather than the U.S. dollar.
The development comes as China cements its position as Africa’s largest bilateral trading partner.
Trade between China and Africa has continued to expand, supported by Beijing’s decision to remove tariffs on imports from 53 African countries and growing Chinese investment in sectors ranging from infrastructure and mining to manufacturing and agriculture.
