China – Cross-border B2B payments platform XTransfer has signed strategic cooperation agreements with China ZheShang Bank (CZ Bank) and Industrial Bank Co., Ltd. (CIB), targeting foreign trade payment and foreign exchange requirements across emerging markets.
The agreements were signed during an event in Xiamen, with the partnerships focusing on areas including minor-currency collection, cross-border RMB clearing, currency conversion and withdrawals.
The collaboration with CZ Bank includes an all-currency settlement solution powered by XTransfer’s X-Net global local-collection network. The service is designed to allow CZ Bank’s export clients to collect payments in local currencies across markets in Africa, the Middle East and Latin America.
The companies said the service addresses challenges faced by exporters when buyers in overseas markets are unable to make payments in their own currencies, as well as delays in receiving funds.
XTransfer and CIB will collaborate on cross-border RMB clearing and minor-currency collection, with the aim of improving the processing of RMB conversion and withdrawals for foreign trade companies.
Under the arrangement, the service can also handle the declaration of international receipts on behalf of exporters during trade settlement, convert funds and credit them to onshore corporate accounts.
“The partnerships cover everything from collecting minor currencies in emerging markets to onshore RMB conversion and withdrawals, creating an end-to-end funding chain so that ‘minor currencies’ no longer become a major headache on the road to global expansion,” said Bill Deng, Founder and CEO of XTransfer.
“XTransfer looks forward to working with more financial institution partners to integrate fintech with the real economy and support Chinese foreign trade companies’ globalisation,” Deng continued.
The agreements were announced in a newly established cross-border bank–enterprise cooperation zone at the event, where the Cross-border Interbank Payment System (CIPS) brought together more than 70 Chinese and international banks to showcase cross-border RMB services.
XTransfer said the partnerships form part of a wider effort to make its X-Net network available to financial institutions through different cooperation models.
X-Net combines cross-border payment and local-collection capabilities with risk-control systems. Banks have previously worked with XTransfer to access services including domestic collections and payments, foreign exchange conversion and cross-border compliance reporting.
Under the expanded model, banks can use X-Net’s payment and local-collection capabilities to provide services directly to their own customers.
XTransfer has also introduced a Bank Minor-Currency Collection Solution, which allows banks in China and other markets to access its global local-collection network. The service is intended to help exporters collect payments in less commonly traded currencies from emerging markets and transfer the funds back to their home markets.
The network can also be used by banks to provide importers with payment services to China, supporting settlement in currencies including the US dollar and Chinese yuan. It is also designed to help local importers make payments to overseas suppliers in their respective local currencies.
The expansion comes as Chinese foreign trade companies increasingly operate across markets with different currencies and payment systems, creating demand for cross-border financial services that can support local collection, currency conversion and settlement.
