HSBC China launches RMB trade settlement services in two new regions

HSBC Bank China Company has launched settlement services in renminbi, or RMB, for cross-border trade in Shanghai, Shenzhen, Guangzhou and Dongguan - key cities in the pilot program permitting the use of RMB in cross-border trade transactions.

The bank has completed its first RMB-denominated trade settlement remittance and launched its first cross-border RMB-denominated documentary credit service for five eligible local companies in the Yangtze River Delta and the Pearl River Delta regions.

HSBC China has also obtained status as a domestic agent bank and is able to open onshore RMB accounts for overseas banks participating in the pilot program. The bank has set up its first onshore RMB account for its Hong Kong-based parent company - The Hongkong and Shanghai Banking Corporation.

The RMB settlement pilot program applies to trade between certain regions in mainland China, including Shanghai and select cities in Guangdong province, and the Hong Kong Special Administrative Region (SAR), the Macau SAR and member countries of the Association of Southeast Asian Nations.

Chris Lewis, head of trade and supply chain for greater China, said: "With our global reach and local expertise, we are well placed to help both importers and exporters efficiently and cost effectively manage both sides of the same trade transaction. This latest development will enhance the bank's ability to support both the importer and exporter conducting RMB cross-border trade business."

http://www.datamonitor.com
Republication or redistribution, including by framing or similar means,
is expressly prohibited without prior written consent. Datamonitor shall 
not be liable for errors or delays in the content, or for any actions 
taken in reliance thereon

Related terms: bank, banking, business, china, guangdong, hong kong, local, pilot program, renminbi, shanghai, trade