Belarus finalizing connection to Chinese version of SWIFT

MINSK. April 26 (Interfax) - Belarus is completing the process of joining the Chinese analogue of SWIFT, the Cross-Border Interbank Payment System (CIPS), the press service for the Belarusian Finance Ministry told Interfax.

According to the press service, Belarusian Finance Minister Yury Seliverstov said on April 23 that work was underway in Belarus to connect to "Chinese systems," and it would soon be completed. "This will only speed up the processing of payments, release of revenue, and, correspondingly, tax revenues for the treasury," Seliverstov said.

The Belarusian state media did not correctly transmit what the minister said, instead relaying plans to connect Belarus to Chinese card payment system UnionPay, the press service said. "We're talking about connecting Belarus to the Chinese analogue of SWIFT," it said.

"We trade with the Chinese side, with Chinese partners in yuan frequently, in their national currency, this suits them. They have their own system, which transfers yuan. If we're going to receive revenue in yuan for our exports, we can acquire, let's say, some electronics products there, using this currency there, transferring money through their system," Seliverstov said.

Due to sanctions restrictions affecting access to international payment systems, Belarus cannot fulfill obligations to creditors on foreign debt, Seliverstov said. "We would even now pay our foreign liabilities without fail, we as the Ministry of Finance pay. But for various reasons, mainly sanctions-related, not all payments go through. We have cases when we sent our payments, for example, to England to international organizations, but these payments weren't withdrawn from the accounts of the National Bank. We have confirmation," he said.

According to Minsk, Chinese banks can join the Russian analogue of SWIFT.

Belarusian Prime Minister Roman Golovchenko said on March 30 that Chinese banks would soon be able to connect to the Financial Messaging System of the Bank of Russia (SPFS).

Belarusian banks which were disconnected from SWIFT at the beginning of March at the decision of the European Union, Belagroprombank, Bank Dabrabyt, and the Development Bank of the Republic of Belarus, currently use the SPFS, Golovchenko said.

All 24 Belarusian banks are currently connected to the SPFS.

Golovchenko said earlier that the share of Chinese yuan in Belarus's foreign trade settlements was growing. The Belarusian Currency and Stock Exchange began daily trading in the Belarusian ruble/yuan pair in mid-March.