The Bank of China (BoC) has marked a significant milestone, ten years of operating as a renminbi (RMB) clearing bank in Zambia. What started as a bold move to introduce the Chinese currency into Zambia’s financial system has now evolved into a cross-border financial services across East and Central Africa.
Held in Lusaka, the anniversary celebration brought together officials, financial leaders, and the Zambian government to reflect on the journey so far and look ahead to greater ambitions. Jin Jun, counselor at the Chinese Embassy in Zambia, highlighted the bank’s role in advancing RMB internationalization and facilitating bilateral trade and investment. He noted that RMB cross-border settlements between Chinese and Zambian enterprises have been steadily increasing, with some companies institutionalizing RMB settlements in bilateral transactions.
Speaking at the event, Bank of China Zambia’s Managing Director Li Xuewen, emphasized the bank’s nearly 30 years of operation in the country and its active promotion of RMB services. He pledged to leverage BoC’s global platform to support Zambian businesses entering the Chinese market and to facilitate Chinese investment in Zambia.
Zambian officials also recognized the benefits of RMB usage. Lillian Bwalya, permanent secretary in the Ministry of Commerce, Trade, and Industry, stated that using national currencies in cross-border trade lowers transaction costs, mitigates exchange rate risks, and fosters a more stable business environment. Lyness Mambo, director of the prudential supervision department at the Bank of Zambia, added that BoC’s efforts have strengthened the local financial market and bolstered China-Zambia trade ties.
As the next chapter unfolds, the Bank of China’s Lusaka branch appears well-positioned to further integrate regional markets, offering an example of how finance can be a diplomatic and developmental tool in Africa-China relations.
