Global Payment System Underway for RMB

China is in the process of turning the yuan into a full-fledged global
currency. It is currently clearing the way for a worldwide payments
superhighway in RMB. The China International Payments System (CIPS)
will replace a patchwork of networks and allow hassle-free yuan payment.
The payment system is now scheduled to go live in 2016.

China’s big clearing banks such as Bank of China (601988.SS) (3988.HK)
and offshore centers such as London or Singapore now handle most
international yuan transactions and stand to lose their privileged
position. With the top 4 Chinese banks each making roughly $25 billion
each every year we don’t expect them to cry over spilt milk.

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