BOC HK conducts first cross-border RMB trade settlement

Jul. 15, 2009 (China Knowledge) - BOC Hong Kong (Holdings) Ltd (BOCHK)<2388>, the Hong Kong subsidiary of Bank of China (BOC)<601988><3988>, announced Tuesday that it has successfully concluded the first cross-border RMB trade settlement transaction, the official Xinhua New Agency reported.

The bank announced that to tie in with the launch of the RMB trade settlement and financial services, it is providing preferential services until the end of this year. The services include instant opening of RMB accounts, a handling charge waiver for RMB remittances, and preferential exchange rates.

The bank also automatically extended the existing trade finance facility of its corporate customers to RMB trade transactions to better meet their business demand.

Industry insiders said that the launch of cross-border RMB trade settlement transactions will help expand the range of uses for RMB and promote the regional and international development of RMB.

BOC Hong Kong launched RMB clearing services for trade settlements on Jul. 6 after signing a clearing agreement with People's Bank of China with respect to RMB business.