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CIPS launches International RMB Letter of Credit Services

What does this mean and what impact does it have on the internationalisation of Renminbi?

7 July 2025

3 mins

Corporate & investment banking
Wide angle view of the waterfront Lujiazui Financial District at night.

China’s Cross-border Interbank Payment System (CIPS) has officially launched its Renminbi  International Letter of Credit (L/C) service, announced during the recent Lujiazui Forum and China International Finance Exhibition in Shanghai on 18 June 2025.

This marks a major leap forward in global trade finance, by allowing banks and businesses to handle the full lifecycle of Renminbi-denominated L/Cs, from issuance to settlement, entirely within the CIPS network. The platform is built on international standards and offers a unified, streamlined approach to cross-border trade documentation and payments.

What this could mean for your business

The Renminbi International L/C service provides corporates and financial institutions with a faster, more transparent, and secure mechanism to manage trade transactions across borders.

Improved speed and efficiency

  • Digitised workflows streamline the issuance, amendment, and settlement of L/Cs
  • Shorter transaction cycles lead to faster delivery and payment

Reduced costs and friction

  • Less reliance on intermediary systems or foreign currency clearing
  • Lower operational and FX conversion costs through Renminbi-denominated trade

Risk mitigation

  • L/Cs offer strong payment guarantees, especially valuable in new or high-risk trade relationships
  • Use of Renminbi reduces foreign exchange volatility and enhances pricing predictability

Stronger trade confidence

  • The backing of a trusted national payment infrastructure (CIPS) increases trust between counterparties
  • Standardised processes enhance global interoperability

How Standard Chartered can support you

As one of the first foreign banks to participate directly in the CIPS network, we are uniquely positioned to help clients harness the full potential of the new Renminbi International Letter of Credit service. With our deep experience in cross-border trade finance and long-standing presence in onshore and offshore Renminbi markets, we offer seamless access to this newly launched solution across our global footprint.

Our global network spans 53 key markets across Asia, Africa, the Middle East, and Europe with over 30 markets equipped with Renminbi capability, giving us a unique vantage point to support trade flows that align with China’s growing global trade relationships. Our global connectivity also ensures consistency, speed, and transparency at every step.

We also continue to invest in technology and innovation. We were among the early pioneers of blockchain-based trade finance solutions, and continue to offer cutting-edge tools in RMB cash management, derivatives, and hedging. These capabilities, combined with our strong regulatory relationships and deep market insight, make us a trusted partner for businesses seeking to tap into the next chapter of Renminbi internationalisation.


Find out more about Renminbi opportunities, or contact your Standard Chartered representative to explore what this may mean for you, and how we can support your business needs.

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