October 11, 2017

Bank opens first branch in free trade zone

China Zheshang Bank Co., Ltd opened its first branch in Shanghai Free Trade Zone recently, which was also one of the first branch-level banks established in the zone.

The bank received 3 billion yuan (US$456.5 million) in deposit and offered 1 billion yuan (US$152.2 million) loans on its opening day.

The bank’s main products are corporate banking, cross border financial services, and investment banking. The bank will utilize the social and economic resources in the zone to expand its customer base and bring about economic benefits for the regional economy.

The bank’s Chairman Shen Renkang said that they hope to bring valuable financial services to the companies in the zone and help them to expand to the overseas markets.

Other banks also play an important role in helping the companies to expand. Bank of China (Shanghai) branch alone has helped thousands of companies to take advantage of the preferential policies in the zone, and its loan balance has reached 100 billion yuan (US$15.22 billion). The bank also offers loan interest rate 15 percent lower than banks outside of the zone.

As of August, 678 companies in the FTZ had started using two-way cross-border RMB cash pooling service. The total cross-border transaction settled in RMB had reached 781.12 billion yuan (US$118.87 billion).