The Central Bank of Libya (CBL) reported yesterday that the Governor of the People's Bank of China, Pan Gongsheng, received Naji Issa, Governor of the CBL, and his accompanying delegation in Beijing.
The meeting took place within the framework of strengthening financial and banking cooperation between Libya and China, and consolidating an economic partnership that serves the mutual interests of both nations.
The meeting featured extensive discussions on prospects for developing bilateral cooperation in the banking and financial sectors and ways to enhance the institutional partnership between the two central banks. These efforts aim to support the development of the financial sector and strengthen its capacity to keep pace with the rapid changes occurring in the global economy.
Participation of Libyan banks in the Cross-Border Interbank Payment System (CIPS)
To foster cooperation in cross-border payment and settlement systems, the two sides formally agreed on the participation of Libyan banks in the Cross-Border Interbank Payment System (CIPS).
CIPS is the official Chinese infrastructure designed to clear and settle cross-border transactions in the Chinese Renminbi (RMB). Authorized by the People's Bank of China, it provides a dedicated, direct, and efficient network for international financial institutions to process yuan-denominated trade and investments.
The CBL said this strategic move is set to facilitate trade and financial transactions, as well as payment and transfer operations between Libya and China, thereby enhancing transaction efficiency, streamlining trade flows, and supporting the business communities in both countries.
Diversification of Libyan investments through entry into Chinese bond market
Furthermore, the two sides reached an agreement regarding the diversification of Libyan investments through entry into the Chinese bond market.
The CBL said this aligns with its strategy to diversify its investment portfolios and improve reserve management efficiency. The Governor of the People's Bank of China welcomed this step, affirming China's support for the CBL's initiatives and encouraging the expansion of investment horizons to boost trade and investment activity between the two countries.
Leveraging China’s pioneering experience in financial sector
The CBL stated that the meeting also addressed opportunities to leverage China’s pioneering experience in developing financial sector infrastructure, digital payment systems, and modern financial technologies. The CBL said this aims to support its efforts to modernize its banking services, enhance operational efficiency, and strengthen its capacity to align with international best practices and standards.
Both sides emphasized the importance of continued coordination, the exchange of expertise, and the strengthening of institutional cooperation channels between the two central banks. Such efforts contribute to broadening the horizons of economic and financial cooperation and consolidating a deeper, more sustainable strategic partnership—one that reflects the strength of bilateral relations and the shared aspirations of both nations for development and prosperity.
Launch of inaugural Libyan-Chinese Banking Forum
At the conclusion of the meeting, the two sides agreed to launch the inaugural Libyan-Chinese Banking Forum. Scheduled to take place on the sidelines of the China-Africa Forum in early 2027, the event will serve as an institutional platform bringing together banks and financial institutions from both countries, thereby fostering investment partnerships and expanding cooperation opportunities within the financial and banking sectors.
April meeting on margins of IMF Spring Meetings 2026 in Washington DC
It will be recalled that these outputs of CBL Governor Issa’s visit to Beijing follow on from his meeting with Pan Gongsheng on 17 April this year in Washington DC on the margins of the IMF Spring Meetings 2026. There, the two announced that they had agreed to link Libyan commercial banks to the CIPS.
They had also agreed to start implementing direct transfers to China, to facilitate the work of small traders, as well as opening letters of credit directly through Chinese banks.
Indeed, this latest Beijing meeting was also agreed at the same DC meeting.
27 April meeting with China’s Ambassador Xueliang in Tripoli
Governor Issa’s outputs in Beijing also follow on from his meeting on 27 April at his Tripoli office with Ma Xueliang, Ambassador of China to Libya, in the presence of Liu Jian, Counsellor and Chargé d'affaires at the Embassy.
Central Bank of Libya to Integrate with Chinese CIPS Payment System
CBL Governor and Chinese Ambassador Discuss Banking Ties
China’s Reed Pelagics Co. establishes animal protein factory in Misrata Free Zone