KB Kookmin Bank said on Dec. 2 that it signed a memorandum of understanding with the Bank of Communications Seoul yuan clearing bank to link with China’s national payment network at an event held on Dec. 1 at The Plaza Hotel in central Seoul.

The bank plans to use the agreement to become the first in South Korea to connect with China’s national payment network. It aims to expand its KB Star Banking overseas payment service to China as early as January next year.

China is building a yuan QR payment system for foreigners. The project is led by the Net Union Clearing Corporation, an infrastructure body, with local payment firms participating.

KB Kookmin Bank and the Bank of Communications Seoul yuan clearing bank will jointly handle yuan settlement funds. NUCC will oversee payment operations inside China.

The KB Star Banking overseas payment service is provided through a partnership with the Global Loyalty Network. It supports QR-based payments in 11 countries and regions, including Thailand, Japan, Taiwan, Laos, Guam, Saipan and Hawaii.

A KB Kookmin Bank official said the agreement creates a basis for stable and simple QR payments in China without steps such as passport or credit card registration. The official said the bank will keep working to improve customer-focused services for easier and safer overseas payments.