Saudi Arabia Exits mBridge Digital Currency Platform

Saudi Arabia has withdrawn from the mBridge cross-border digital currency platform. The Saudi Central Bank confirmed it is no longer a participating member. Its proof-of-concept exercise concluded on May 13, 2025. The central bank stated the exit aligns with its original timeline. Saudi Arabia joined the project as a full participant in 2024.

The platform facilitates direct cross-border payments using central bank digital currencies. It was developed to reduce the cost and time of traditional banking transfers. According to GN markets/fx (en-US), the withdrawal does not signal a broader geopolitical shift. SAMA initially joined as an observer in 2023. It later participated in the minimum viable product phase.

Project Leadership Shifts to Central Banks

The Bank for International Settlements ended its involvement in October 2024. The BIS handed the initiative over to participating central banks. General Manager Agustín Carstens described the move as a graduation process. He stated the departure was not driven by political considerations. The BIS emphasized that mBridge is not a BRICS payment platform.

The project originally involved the Hong Kong Monetary Authority and the Bank of Thailand. The Digital Currency Institute of the People's Bank of China was also a key participant. The Reserve Bank of India observed the project during its early stages. Participants continue to engage with the system in a discreet manner.

Macao Activates System for New Banks

The Monetary Authority of Macao joined mBridge in 2026. The system activated for participating banks on June 2. Three Macao banks completed 23 cross-border transactions on the first day. These transactions involved trade settlement and remittances. The total value was nearly 1.3 billion Macao patacas.

The transactions connected Macao with mainland China, Hong Kong, and the UAE. This expansion occurs despite the Saudi withdrawal. The platform continues to grow its user base in Asia. The system aims to settle transactions directly in central bank money. This reduces reliance on correspondent banking networks.

US Scrutiny of Dollar Alternatives

Washington monitors cross-border payment systems that reduce dollar reliance. US President Donald Trump threatened BRICS countries with tariffs. He warned against efforts to create a currency replacing the dollar. In January 2025, Trump reiterated a 100 percent tariff threat. The mBridge project is not described as a common currency effort.

Developers state the system complies with international sanctions. The platform uses distributed ledger technology for settlement. Participants include central and commercial banks. The goal remains to improve operational efficiency. The project continues to operate under existing financial regulations.