The statement also mentioned that RMB payments and trade settlements continue to grow globally, with more than 50% of RMB funds flowing to Southeast Asia and Greater China, which are the core markets of UOB.
"Between 2023 and 2024, banks' cross-border RMB payment and trade settlement business will grow significantly, and the application of RMB in investment, payment and trade is expected to further expand in the future."
She said: "We will continue to provide customers with efficient, transparent and cost-effective services. This will not only help us achieve our goal of becoming ASEAN's preferred trading bank, but also further consolidate Singapore's position as a regional financial services hub and offshore RMB center."
The so-called indirect participants refer to institutions that do not open an account in the RMB cross-border payment system but have a line number. Such institutions can handle cross-border payment and settlement business of RMB by entrust direct participants who have joined the system.
In addition, UOB will also expand its transaction network to connect more than 1,600 participants in the cross-border payment system around the world, and at the same time handle cross-border RMB payments and settlements on behalf of indirect participants.
Uobo Bank issued a statement on Wednesday (June 18) to announce the news, and customers can enjoy real-time full settlement and remittance services, thereby reducing payment and clearing costs.
UOB Bank and its wholly-owned subsidiary UOB China have signed an agreement to join the RMB Cross-border Payment System (CIPS) to provide one-stop cross-border RMB clearing, settlement and payment services for enterprises and institutions at home and abroad.
Su Lihua, head of transaction banking at UOB Group, said that the bank is honored to be a direct overseas participant in the RMB cross-border payment system, which will greatly enhance UOB's ability to serve regional customers in the RMB business.