The Central Bank of Libya and the People’s Bank of China agreed that Libyan banks would join the Cross-border Interbank Payment System (CIPS), that Libyan investments would enter the Chinese bond market, and that a banking forum between the two countries would be held next year.

This came during a meeting in Beijing between the governor of the People’s Bank of China, Pan Gongsheng, and the governor of the Central Bank of Libya, Naji Issa, and his accompanying delegation, according to an announcement by the Central Bank of Libya on Thursday.

Developing Banking and Financial Cooperation Between Libya and China

The two sides held extensive talks addressing prospects for developing bilateral cooperation in the banking and financial sectors, as well as ways to enhance the institutional partnership between the two central banks, thereby supporting efforts to develop the financial sector and strengthening its ability to keep pace with the rapid changes in the global economy.

The two sides also discussed opportunities to benefit from China’s pioneering experience in developing financial sector infrastructure, digital payment systems, and modern financial technologies, thereby supporting the Central Bank of Libya’s efforts to modernize its banking services system, improve its operational efficiency, and enhance its ability to keep pace with international best practices and standards.

The Central Bank of Libya stated: “ The two sides have officially agreed on the accession of Libyan banks to the Cross-Border Interbank Payment System (CIPS), in a strategic move that will facilitate commercial and financial transactions and streamline payments and transfers between Libya and China, thereby contributing to increased efficiency in financial transactions, enhancing the flow of trade, and supporting the business communities in both countries .”

Libyan Investments Enter the Chinese Bond Market

He added that the two sides reached “an agreement on diversifying Libyan investments by entering the Chinese bond market, as part of the Central Bank of Libya’s strategy to diversify its investment portfolios and enhance the efficiency of its reserve management.”

At the conclusion of the meeting, the two sides also agreed to launch the Libya-China Banking Forum for the first time, to be held on the sidelines of the China-Africa Forum in early 2027, to serve as an institutional platform bringing together banks and financial institutions from both countries, and to contribute to strengthening investment partnerships and expanding opportunities for cooperation in the financial and banking sectors.

Cooperation between the Central Bank of Libya and the People’s Bank of China

Both sides emphasized the importance of continuing coordination and the exchange of expertise, as well as strengthening institutional cooperation channels between the two central banks, thereby contributing to broadening the horizons of economic and financial cooperation and cementing a deeper and more sustainable strategic partnership that reflects the strength of bilateral relations and the aspirations of both countries to achieve development and prosperity.

The Central Bank of Libya noted that this initiative is part of efforts to strengthen cooperation in the field of cross-border payment and settlement systems, enhance financial and banking cooperation between Libya and China, and consolidate the economic partnership in a manner that serves the mutual interests of both countries.

The Governor of the People’s Bank of China, Pan Gongsheng, welcomed this step, affirming China’s support for the Central Bank of Libya’s initiatives and encouraging the expansion of investment opportunities to boost trade and investment between the two countries.