At a seminar for 150 clients on 10 July 2009 Standard Chartered Bank (Hong Kong) announced that the bank has completed the first cross-border trade settlement transaction in Renminbi (RMB), following the official signing of the pilot program with Bank of China (Shanghai).
One payment of RMB from Standard Chartered (Hong Kong) Limited was initiated by Chapman International Macao Commercial Offshore Limited , a subsidiary of Gennon Industries Limited, to Dongguan Ming Hoi Dyeing and Finishing Fty Co., Ltd.
Chapman International Macao Commercial Offshore Limited in order to settle an invoice of Dongguan Ming Hoi Dyeing and Finishing Fty Co., Ltd., opened a new Trade Settlement Enterprise (“TSE”) account with Standard Chartered Bank (Hong Kong) and instructed Standard Chartered Bank (Hong Kong) to make the payment.
A second RMB payment was received by New Ocean Energy Holdings Limited (Stock code 342) RMB TSE account with Standard Chartered (Hong Kong) Limited from New Ocean Zhuhai. The transaction was received into Standard Chartered Bank (Hong Kong) Limiteds RMB Clearing Bank Account in Hong Kong.
These two transactions make Standard Chartered the first international bank to facilitate two-way RMB denominated trade between Hong Kong and China. Additionally Foreign exchange conversion by Standard Chartered (Hong Kong) Limited provided the client with a comprehensive solution.
Standard Chartered (Hong Kong) Limited also confirmed that it is the first bank to be ready to conduct end-to-end transactions for corporates in Greater China and ASEAN countries such as Singapore, Malaysia, Indonesia and Thailand over Straight2Bank, its award winning internet platform, as well as through host-to-host channels. Standard Charted has the largest branch presence of any international bank in Asia giving it an unrivalled position to be bank of choice for RMB trade settlement.
This is an important milestone in terms of the Renminbi trade settlement business. This arrangement facilitates greater convenience of cross border trade activities which will further accelerate trade growth.
By leveraging our advantage in the Renminbi product and service offering, we are confident that we will be able to extend and strengthen our suite of Renminbi products and services to best serve the corporates in the Greater China and ASEAN region, says Neil Daswani, regional head of Transaction Banking for Northeast Asia, Standard Chartered Bank.
With its strategic location and world-class infrastructure, Hong Kong provides a perfect platform for companies around the world to conduct international commercial transactions; and also to tap into the global capital markets helping them manage their cash flows and finance their business cycles. Standard Chartered has 150 years of history in Hong Kong and the mainland. The bank is very committed to our development in the Greater China region and todays signing heralds the beginning of its next chapter in the region.
Standard Chartered also announced an array of benefits on RMB services. Customers can enjoy 4-month cash reward consecutively with average monthly deposits of every RMB 20,000. Total rate of return for new funds is up to 1.5%p.a. rate of return. Also, remittance fee will be waived for settling RMB trade transactions with our RMB Trade Settlement Enterprise Account.
L.D.