Singapore and China Unveil Digital Renminbi Pilot for Tourists
CHONGQING - In a significant development, Singapore and China have announced a record 27 agreements following high-level talks on December 15. One of these deals is a pilot program allowing Singaporean tourists to use digital renminbi in China.
This initiative comes at a time when both nations are seeking to strengthen ties amid global geopolitical uncertainties, rapid technological advancements, and economic challenges. Deputy Prime Minister Gan Kim Yong emphasized the importance of cooperation, stating, 'It is crucial for Singapore and China to find ways to work together, anticipate challenges, and capitalize on emerging opportunities.'
Chinese Vice-Premier Ding Xuexiang highlighted the steady growth of the China-Singapore relationship, noting that despite rising global unilateralism, cooperation has yielded positive results. He mentioned that trade between the two countries in the first 11 months of 2025 increased by 8.8% year-over-year, and the number of flights between Singapore and China has surpassed pre-COVID-19 levels.
The annual Joint Council for Bilateral Cooperation (JCBC) meetings, held in Chongqing, China, marked the 10th anniversary of the China-Singapore Demonstration Initiative on Strategic Connectivity (CCI). This initiative aims to enhance connectivity between western China and Southeast Asia.
During the talks, both leaders announced 27 memorandums of understanding (MOUs) and agreements. Five of these documents outline plans for the CCI's next decade, expanding cooperation into new sectors such as healthcare, education, green finance, and digital trade, while building upon the initial four areas of collaboration: financial services, aviation, transport and logistics, and information and communications technology.
One notable agreement named DBS Bank as Singapore's second renminbi clearing bank, following the Singapore branch of the Industrial and Commercial Bank of China (ICBC). DBS Bank China's CEO, Ginger Cheng, attributed the bank's success in the Chinese offshore bond market to its involvement in the CCI, including the issuance of the first offshore renminbi bond under the initiative.
Another significant agreement will enable Singaporean travelers to use digital renminbi for purchases in China through a pilot program. Starting in December, the Singapore branches of ICBC and the Bank of China will roll out the program in phases, allowing customers to open and top up digital renminbi wallets. This feature is particularly useful as digital renminbi payments can be made in China without an internet connection, using phones with near-field communication technology.
Other agreements include a protocol between Singapore's Ministry of Sustainability and the Environment and China's General Administration of Customs to facilitate the export of processed meat from Singapore manufacturers to China. The Ministry of Health also signed an MOU with China's National Health Commission to enhance collaboration in areas such as disease prevention, healthy aging, and women's and children's health.
Additionally, the Ministry of Law and the China Council for the Promotion of International Trade inked an MOU to cooperate in international commercial dispute resolution, intellectual property management, legal support for digital and green economy growth, and international trade policies and compliance.
This year marks the 35th anniversary of diplomatic relations between Singapore and China, celebrated with high-level exchanges, including reciprocal visits by Prime Minister Lawrence Wong and Chinese Premier Li Qiang. Gan Kim Yong, who is also the Minister for Trade and Industry, noted that the relationship has a longer history, with early exchanges between Mr. Lee Kuan Yew and Mr. Deng Xiaoping laying the foundation for the bilateral relations to flourish.
These exchanges led to the development of three government-to-government projects: the Suzhou Industrial Park, Tianjin Eco-City, and the CCI. An extension of the CCI is the New International Land-Sea Trade Corridor (ILSTC), a rail-and-sea multimodal transportation route connecting Chongqing, Singapore, and beyond via the Qinzhou Port in Guangxi, China. Cargo volumes along the CCI-ILSTC increased by 15% between 2022 and 2024.
Singapore's investments in Chongqing have doubled from US$5.7 billion in 2015 to US$12.7 billion in 2024. Trade between Chongqing and Singapore, its largest investor, grew by 15.5% in 2024 compared to the previous year.
