Tanzania introduces direct RMB settlement service to facilitate trade with China

Stanbic Bank Tanzania, one of Tanzania's leading commercial banks, on Wednesday launched a direct renminbi (RMB) settlement service, allowing Tanzanian businesses trading with China to make and receive payments directly in the Chinese currency, a move expected to reduce transaction costs and facilitate bilateral trade.

The service runs on China's Cross-Border Interbank Payment System (CIPS), enabling banks to clear transactions in yuan rather than routing through a third currency — often the U.S. dollar.

For Chinese businessman Wang Xin, who has lived in Tanzania for six years, the development could relieve long-standing headaches for importers grappling with foreign exchange shortages.

"The biggest challenge we are facing in the financial market right now is the foreign exchange in Tanzania. Because of the intervention of the U.S. dollar, the cost of exchanging the RMB is relatively high and there is often a shortage of foreign exchange in the market. So we hope that the bank can give us more support," he said.

Stanbic Bank has also extended CIPS access to other African markets, positioning the service as a continent-wide channel for yuan-based commerce as trade with China deepens across the region.

Tanzanian officials view the growing use of the yuan as another pillar supporting economic ties with China, especially as China opens its markets wider to Tanzanian goods.

"We confidently foresee that our economic exchange will experience a significant upward trajectory, particularly now that China has fully implemented its landmark 100 percent zero tariff treatment policy for Tanzania effective the first of May 2026," said Tanzanian Ambassador to China Suleiman Haji Suleiman.

The Bank of Tanzania, the country's financial regulator, says it supports CIPS while also working to strengthen other regional and continental payment systems. But it cautions that the rapid expansion of digital cross-border payments must be matched by robust safeguards.

"As these services expand, attention must remain focused on anti-money laundering and counter terrorist financing controls, cyber-security resilience, consumer protection and prudent risk management," said Sauda Kassim Msemo, deputy governor of the Bank of Tanzania.

Tanzania introduces direct RMB settlement service to facilitate trade with China

Young Chinese students spent the night in Beijing's Tian'anmen Square to see Thursday morning's symbolic flag-raising ceremony marking the 77th anniversary of the founding of the People's Republic of China.

The grand ceremony is seen as one of the defining moments of China's National Day, which falls on October 1 every year, with the ritual performed by honor guards of the Chinese People's Liberation Army.

Large crowds gathered in the historic square in the Chinese capital throughout the night in the hours ahead of the flag-raising which takes place at dawn.

Some came with backpacks on their shoulders, others brought folding stools to sit on, as they stayed awake the whole night, waiting patiently for the ceremony.

For many, the moment is one of patriotic pride shared among generations of family members.

Quan Hong, a student from the Beijing Institute of Technology, said his great-grandfather was a soldier in the War of Resistance against Japanese Aggression.

"My grandparents and parents often tell me about his experiences on the battlefield, and about the documents, commemorative photos and medals he left behind. They inspire me, so I hold a deep attachment to my country and the national flag," he said.

Other youths say they felt inspired after taking part in this overnight vigil, and hope to make their own contributions to the country after completing their studies.

"The peace and stability of the country are protected by many people working quietly behind the scenes. Every time I see the five-star red flag rising, it strengthens my resolve. I hope to use what I learn in school to contribute my part to the country in the future," said Zheng Runzhi, a student from Beijing University of Posts and Telecommunications.

Attending the daily flag-raising ceremony at Tian'anmen Square has become a major year-round tourist attraction for domestic visitors, with the event taking on added significance during China's National Day celebrations.

The week-long National Day holiday, also known as the 'Golden Week', runs from Oct 1 to 7, and typically draws massive crowds of visitors from across the country to the square.

Young people wait overnight for China's symbolic National Day flag-raising ceremony