The Governor of Georgia’s National Bank, Natela Turnava, has said that as many as four commercial banks are preparing to join the Chinese Cross-Border Interbank Payment System (CIPS), often considered an alternative to SWIFT.
Turnava had discussed joining CIPS in February, later telling OC Media that Georgia would not be violating any international laws or rules by joining the system.
‘In practice, almost all Western banks cooperate with them. They are not under any sanctions. China is Georgia’s fourth-largest trading partner, and improving transfers is necessary’, Turnava said.
The system would enable international payments using the Chinese yuan.
‘CIPS is not an alternative to SWIFT because the first works only with the yuan, while the second operates with the dollar and the euro’, she explained. ‘Also, 5,000 banks from 189 countries are members of CIPS, and they simultaneously use SWIFT as well. Many Western banks are involved’, Turnava explained.
According to critics, however, moving toward Chinese or similar payment systems could weaken ties with Western financial networks and potentially expose banks to sanctions risks or reputational problems if such systems are used to bypass international restrictions.
The National Bank has already gained access to one of the world’s largest and most important financial markets — China’s Interbank Bond Market (CIBM). The agreement on access was reached during an official visit in 2025 by a Georgian delegation to China within the framework of a memorandum signed with the People’s Bank of China.
When contacted, the two largest banks in Georgia, TBC and Bank of Georgia, said they did not have any information to share about joining CIPS at the moment, without elaborating.
Economist and former MP Roman Gotsiridze has said that this step was merely a continuation of the Chinese reserve theme.
‘It is hard to understand now which banks this may involve; however, the Chinese Basisbank and Kazakh banks could be involved’, he added.
Despite these concerns, Turnava stressed that ‘transactions with China are not sanctioned, so any bank can serve them’.
CIPS was launched in 2015 and is managed by the People’s Bank of China. It is intended for both Chinese and foreign banks to allow for yuan-denominated transactions securely and efficiently on a global scale.
Helena Bedwell
