China's state-owned commercial bank (BoC) signed a cooperation agreement with Abu Dhabi First Bank (FAB), the largest bank in the UAE, Golden Finance reported. In addition, People's Bank of China signed a digital currency agreement with the Central Bank of the United Arab Emirates. The two central banks have partnered with the Bank for International Settlements and the central banks of Thailand and Hong Kong on the mBridge cross-border payments project.
Shu-Pui Li, a UAE digital currency consultant, pointed out the potential to use CBDCs for infrastructure payments and eliminate intermediary banks, which can save costs and prevent delays.
