Yiwu Pay launches first cross-border RMB business in Dubai

Recently, Yiwu Gemei Home Appliances Co., Ltd., located in District 2 of Yiwu International Trade City, Zhejiang, completed its first foreign trade order with direct currency settlement with the Dubai market through the small commodity city “Yiwu Pay”.

This is another innovative achievement after the first cross-border RMB business between Yiwu and Saudi Arabia was launched last year. This marks another substantial step taken by Yiwu in the exploration of cross-border payment settlement transactions.

It is understood that the goods in this transaction are a batch of small household appliances departing from Yiwu. After the goods arrive in Dubai, the overseas buyers pay the money into the local dirham account opened by Yipay in cooperation with the Industrial and Commercial Bank of China Abu Dhabi Branch. , and then realized the fund transfer and processing within seconds through the bank’s system, and finally completed the collection and settlement transaction on the Yiwu Pay online digital payment platform.

“In the past, the payment needed to be converted into U.S. dollars through a local bank in Dubai, then settled into offshore RMB through an intermediary bank to an offshore account in Hong Kong, and finally settled into onshore payment into my domestic bank card.

Traditional channels not only have to deal with multiple banks, which is time-consuming and prone to exchange risks, but also adds a lot of handling fee costs. ”

Dubai, United Arab Emirates is the “Gateway to the Middle East” and the largest trade distribution center for Yiwu Manufacturing in the Middle East.

According to data from the Yiwu Statistics Bureau, Yiwu City’s annual export volume with the United Arab Emirates reached 13.146 billion yuan in 2022, a year-on-year increase of 46.79%.

The Yiwu China Commodity City in Dubai, jointly developed and constructed by Zhejiang China Commodity City Group Co., Ltd. (Commodity City) and Dubai World Port Group (DP World), was also officially put into operation on June 30, 2022. It is the first step for Yiwu to build an overseas ecosystem. It is an important innovation to open up the Middle East market and actively participate in the construction of the “One Belt, One Road” initiative.