Kazakhstan and China are expanding financial cooperation, announcing plans to integrate digital currencies and payment systems. Representatives of the National Bank of Kazakhstan, the Agency for Regulation and Development of the Financial Market, and the National Payment Corporation of Kazakhstan held a series of meetings with the leadership of the People's Bank of China, the National Financial Regulatory Administration, the CIPS payment system, the China Banking Association, and the country's largest commercial banks, reports infohub.kz.
The results of the talks were announced by Binur Zhalenov, adviser to the chairman of the National Bank of Kazakhstan. A key outcome was the signing of a new three-year bilateral currency swap agreement between the National Bank of Kazakhstan and the People's Bank of China, with an option for extension. According to Zhalenov, the agreement is expected to strengthen the foundation for trade and investment, as well as expand the use of tenge and yuan in mutual settlements.
In addition, the parties agreed to develop interaction between the digital tenge and the digital yuan. Two integration tracks are planned: through the international mBridge platform and via bilateral connection through the CBETS system. Pilot projects are expected to be launched by the end of 2026.
Also by the end of the year, integration of QR payments between Kazakhstan and China is expected. This work follows agreements reached between the National Payment Corporation of Kazakhstan and UnionPay International. It is expected to make cashless payments more convenient for citizens and businesses of both countries.
Another area of cooperation will be the development of cross-border payments. Within the framework of interaction with the Chinese CIPS system, Kazakhstan's national payment infrastructure is to become a centralized access point for domestic financial organizations to this network. This approach is expected to simplify bank connectivity, reduce infrastructure fragmentation, and expand settlements in national currencies.
During the meetings, the parties also discussed expanding the participation of Chinese financial institutions in financing Kazakhstan's economy, the possibility of issuing debt instruments denominated in yuan, and increasing the presence of Chinese banks in the Kazakh market.
Separately, the Kazakh side proposed that partners consider participating in investment projects and the development of the city of Alatau as a future hub for digital finance, artificial intelligence, and international capital.
According to Zhalenov, the next stage will be the practical implementation of the agreements reached in all areas of cooperation.
Earlier, Kursiv reported that Kazakhstan is expanding the use of the digital tenge in spending budget funds. By the end of 2026, it will be used in certain public procurements and transactions exceeding 100 million tenge, including purchases of medicines, fuel, construction, road repairs, and transport acquisition. The mechanism will allow real-time tracking of fund movements and restrict their use strictly to designated purposes.