Saudi Arabia has formally ended its participation in mBridge, the China-linked wholesale central bank digital currency platform for cross-border settlement, after completing a proof of concept on May 13, 2025. The Saudi Central Bank, known as SAMA, confirmed the exit and said the move was part of its original plan for testing the technology.
SAMA joined mBridge as an observing member in 2023 under the Bank for International Settlements, then became an active participant in 2024 alongside China, Hong Kong, Thailand and the United Arab Emirates. The BIS itself left the project in October 2024, with then-general manager Agustín Carstens saying the institution had “graduated out” because member central banks could continue the work themselves. The Financial Times reported that Washington had pressured the BIS to withdraw.
mBridge enables central banks and commercial banks to conduct payment and foreign exchange settlement using digital versions of national currencies, reducing the need for the U.S. dollar as intermediary currency and for correspondent banking networks. The project reached its minimum viable product stage in 2024 and moved toward commercial use, with Macau joining and the system going live there in June 2026.
The Saudi departure highlights the geopolitical balancing act around alternatives to dollar-dominated payment systems. Riyadh maintains a dollar peg and oil pricing in dollars, while also exploring blockchain-based finance and having completed Project Aber with the UAE. Former White House official Daleep Singh warned in 2025 that China could gain influence over standards governing privacy, security, interoperability and sanctions enforcement through mBridge. Cornell professor Eswar Prasad said many U.S. allies view systems like mBridge as useful, but remain sensitive to Washington’s objections. President Trump separately threatened BRICS countries with tariffs if they pursued alternatives to the dollar.
In parallel, China has continued expanding its cross-border digital yuan infrastructure. Industrial and Commercial Bank of China completed the first digital yuan payment between China and Singapore in July 2026 through the Digital Currency Express platform, and its Inner Mongolia branch transferred 220 million yuan to Hong Kong via the multilateral CBDC bridge. The People’s Bank of China added eight more banks to the e-CNY operating network in August, bringing operators to 30, and official figures showed 3.48 billion transactions by November 2025. Saudi Arabia remained named in China’s 2026 cross-border e-CNY pilot plans involving Singapore, Hong Kong, Thailand, the UAE and Saudi Arabia, even though its formal mBridge participation ended in May 2025.
