China launches quiet alternative to SWIFT, says Russian official

China has quietly launched its own alternative to the SWIFT international payment system, according to a senior Russian official.

Boris Titov, co-chairman of the Russian-Chinese Friendship, Peace and Development Committee and Special Representative of the President of the Russian Federation for relations with international organisations on Sustainable Development Goals, said the new system was introduced “quite quietly, without noise and dust,” Caliber.Az reports per Russian media.

He added that the Renminbi Digital cross-border payment system is designed for “those who trade with China and seek to circumvent the dollar system.”

Titov explained that the digital yuan is a token circulating on the Chinese state-owned blockchain, issued and controlled by the People’s Bank of China. Customer access is provided by commercial banks and licensed operators, while international gateways connect the infrastructure.

He noted that the Renminbi Digital system is not yet available globally, but is already in use across the Association of Southeast Asian Nations (ASEAN), the Middle East, Russia and other Commonwealth of Independent States (CIS) countries.

The development comes amid efforts by Russia to build its own alternative to SWIFT. On October 1, Deputy Prime Minister Alexander Novak said Russia is actively developing a payment system involving countries that maintain friendly ties with Moscow.

By Aghakazim Guliyev