The People’s Bank of China has appointed Deutsche Bank as a Renminbi clearing bank for Europe, operating from Frankfurt. It is the first foreign bank to receive the designation.
Deutsche Bank will handle end-to-end processing, clearing and settlement of cross-border RMB transactions for European financial institutions and businesses, acting as a local bridge to China’s payment systems. The role strengthens RMB clearing infrastructure across Europe and widens access to offshore RMB liquidity for banks and corporates.
The designation lets the bank offer direct RMB solutions across payments, liquidity management, trade finance and investment, with faster transactions and lower counterparty risk for clients.
Alexander von zur Muehlen, CEO of Asia Pacific, Europe, Middle East & Africa (MEA) and Germany at Deutsche Bank, said: “Securing RMB clearing capability in Europe reinforces our role as a trusted global clearing partner and our long-standing support for RMB internationalization. It strengthens China-Europe financial connectivity and enhances our ability to support clients’ cross-border trade and investment flows with greater choice and flexibility.”
Leo Yin, President of Deutsche Bank (China) Co., Ltd., added: “Leveraging our deep client base, extensive expertise and integrated capabilities across key offshore RMB centers, including Frankfurt, London, Singapore and Hong Kong, together with our proven operational experience and continuously enhanced technology platforms, we are well positioned to provide efficient and comprehensive RMB solutions for corporate and financial institutions. By connecting onshore and offshore RMB ecosystems and expanding RMB use cases across Europe and key trade corridors, we aim to help clients capture new opportunities arising from the evolving RMB landscape.”
Deutsche Bank is a Global Systemically Important Bank and the world’s largest euro clearing bank. It joined China’s Cross-border Interbank Payment System (CIPS) in 2015 among the first international banks to do so, and runs RMB capabilities across China and the main offshore centres, backed by a correspondent network covering thousands of institutions worldwide.