Diversified RMB Products and Services

A Professional Team Providing Pioneering Services for Foreign Enterprises Investing in China

China now plays a significant role in the global economy. International enterprises recognise the growth potential of the Chinese market and the opportunities it offers to expand their business. Drawing on BOCHK's close connection with its parent bank, Bank of China (BOC), and Bank of China Group's vast network throughout the Mainland, our professional team with expertise in the Mainland of China and Hong Kong's business environment, laws and regulations, make BOCHK the ideal one-stop cross-border banking services provider to facilitate your business expansion in China.

  • How can companies develop business on the Mainland with offshore RMB funding?
    BOCHK can assist offshore parent companies to raise capital for investment in China through financing, currency conversion or self-owned RMB funding. It also offers loans to foreign enterprises that can be transferred to their Mainland subsidiaries by ways of equity injection and shareholder's loan.

    To satisfy the working capital needs of clients' Mainland subsidiaries, BOCHK can also provide cross-border facilities such as "overseas direct loans" and "domestic loans under overseas guarantee" to clients' subsidiaries in the Mainland in order to lower financing costs.
  • How to trade with Mainland enterprises through RMB trade finance?
    BOCHK provides various tailor-made trade settlement and financing services to support foreign companies trading in RMB, including Letters of Credit (L/C), Collection, Packing Loans, Negotiation/Discount of Export Bills under L/C, Import Invoice Financing, Export Invoice Discounting, Forfaiting, Factoring and Overseas Import/Export Financing all settled in RMB. Corporate customers can convert their existing HKD or USD trade lines into equivalent RMB trade lines based on their actual needs. They can also fix foreign exchange rates in advance of trade payments in order to hedge exchange rate risks of RMB.
  • How to reduce exchange costs and minimise the risk of exchange rate and interest rate in transactions?
    Foreign companies investing in China often face currency and interest rate risks arising from asset-liability mismatches in RMB and other currencies. BOCHK offers treasury solutions such as Spot Exchange, Delivery Forward, Non-Delivery Forward and Cross-Currency Interest Rate Swaps, so that corporate customers can lock in exchange rates and interest rates in advance for better currency and interest rate risk management.
  • How to transfer cross-border funds efficiently?
    "BOC Remittance Plus" provides same-day fund transfer service to over 10,000 remittance points spanning all provinces, autonomous regions and municipalities in the Mainland of China and Macau, enabling foreign companies to capture every business opportunity and meet their financial needs. "BOC Corporate Banking Services Online" (CBS Online) is connected to the BOC Online Banking and cash management system in China and overseas branches. Corporate customers can access and manage their BOC bank accounts on the Mainland anytime, anywhere.
  • How can corporations make better use of their working capital generated in China and overseas to support the development of the group through cash management?
    Through close cooperation with BOC Group's branches in the Mainland of China, BOCHK provides cash management services for the needs of working capital and investment in the Mainland of China and overseas, including RMB dividend allocation, corporate cross-border RMB loans and cross-border two-way RMB cash pooling, to enhance the efficiency of cash utilisation and further supports the sustainable development for the corporations.

A Global Network Offering Integrated Business Solutions to Assist Mainland Companies Going Global

Mainland corporations are developing rapidly. How can they keep pace with RMB internationalisation and capture opportunities offered by global markets? By staying on top of RMB market developments in the context of their business needs, BOCHK assists corporate customers to take advantage of RMB’s growing importance as an international trading currency and expand their businesses worldwide.

  • How to reduce exchange costs and minimise the risk of exchange rate and interest rate in transactions?
    Mainland companies going global often face currency and interest rate risks arising from asset-liability mismatches in RMB and other currencies. BOCHK offers treasury solutions such as Spot Exchange, Delivery Forward, Non-Delivery Forward and Cross-Currency Interest Rate Swaps, so that corporate customers can lock in exchange rates and interest rates in advance for better currency and interest rate risk management.
  • How to finance overseas subsidiaries?
    Mainland companies can set up a subsidiary in Hong Kong to obtain overseas financing for its offshore business expansion. BOCHK offers customised solutions for corporate customers, including quadripartite agreements, overseas loans under domestic guarantees and other types of cross-border facilities such as RMB working capital loans, overdrafts, project financing and syndicated loans. Companies can obtain working capital and give full play to the group's strengths and advantages, reduce the overall financing costs. BOCHK also assists corporate customers to raise capital through Initial Public Offering (IPO) and the issuance of RMB bonds overseas, and provides tailor-made solutions for your business.
  • How can mainland corporations set up overseas trade platforms through overseas subsidiaries?
    Mainland corporations with frequent cross-border trade settlements can set up an overseas subsidiary as their trading platform. BOCHK offers diversified import and export trade finance facilities. Corporations can compare exchange rates and interest rates of both onshore and offshore markets to select the best financing and settlement solution.
  • How to lower operating cost and enhance operating efficiency?
    For mainland companies with subsidiaries around the world, effective cash management services help to lower their operating costs. BOCHK has connected to the system of cross-border settlement network and established the world’s RMB remittance agency network, and connected to the online banking systems of its parent bank, BOC, and overseas branches. Through these, corporate customers could enjoy the most convenient and efficient remittance, local transfer and account enquiry services. BOCHK also helps corporate customers build cross-border cash management platforms to manage their group-wide accounts, benefit from shared group capital and achieve efficient cash management.
  • How to generate higher returns from offshore RMB capital?
    BOCHK helps corporate customers to maximise returns by seizing every investment opportunity. It provides a series of wealth management and investment products and services, including time deposits, structured time deposits, RMB bonds, RMB securities and RMB funds. Companies can choose the most suitable investment products according to their own risk appetite and investment preferences to create higher returns.

Declaration

  • RMB investments are subject to exchange rate fluctuations which may provide both opportunities and risks. The fluctuation in the RMB exchange rate may result in losses in the event that customer converts RMB into HKD or other foreign currencies.
  • RMB is currently not fully freely convertible. Hong Kong residents who convert RMB through bank accounts are subject to a daily limit. Hong Kong residents should allow time for exchange of RMB from / to another currency of an RMB amount exceeding the daily limit. Non-Hong Kong residents (i.e. individuals who are not holders of Hong Kong Identity Card) who intend to convert RMB through the banks may occasionally not be able to do so fully or immediately, for which is subject to the RMB position of the banks and their commercial decision at that moment. You should consider and understand the possible impact on their liquidity of RMB funds in advance.
  • RMB transactions are also governed by the related rules and regulations of the Mainland of China if RMB funds transfer between Hong Kong and the Mainland of China is involved.