OREANDA-NEWS. June 26, 2014. At the "Bank-Enterprise Signing Ceremony for Pilot Centralized Operation and Management of Global Foreign Exchange Funds of Multinational Headquarters in the FTZ", Bank of China Shanghai Branch entered into the Framework Agreement on Centralized Operation of Foreign Exchange Funds of Multinational Companies with Sony Logistics, Li & Fung Group, and Sinar Mas Group, respectively, which marked the first cooperation intention on centralized management of foreign exchange funds of multinational headquarters after the release of the detailed implementation rules on foreign exchange management in the FTZ.

In February this year, the State Administration of Foreign Exchange issued the Circular on Releasing the Detailed Implementation Rules on Foreign Exchange Management in Support of the Construction of China (Shanghai) Pilot Free Trade Zone, which has not only broken the boundary of routine management of current and capital accounts, vigorously promoted trade and investment, but also further lowered the operating costs of enterprises, especially multinational companies with relatively sound corporate governance structure, by means of management of the principal domestic and international foreign exchange accounts. This has also allowed enterprises to fully utilize the two markets and two kinds of resources, offered them greater capital operation space, and embodied the characteristic of serving the real economy.

As a leader bank in foreign exchange business, BOC has been cooperating actively with the government's pilot reform programs for foreign exchange management, and completed the first transactions under the pilot program for centralized operation and management of foreign exchange funds of multinational headquarters at the end of 2012, being the first among its peers in the industry. By making customized service implementation plans for Sony Logistics, Li & Fung Group, and Sinar Mas Group respectively this time, BOC is committed to meeting the multidimensional needs for these enterprises fro centralized foreign exchange receipt and payment, net settlement, uniform management of foreign debt limits of domestic companies, outward lending limit, and adjustment of internal quota surplus and deficiency. This has provided great convenience to multinational companies in centralized fund use and financing for domestic and overseas members, boosted their capital management efficiency, lowered finance costs and enhanced their international competitiveness.

Sony Logistics, Li & Fung Group, and Sinar Mas Group all have rich background for multinational operations. Sony Logistics & Trade (Shanghai) Co., Ltd. is a wholly-owned subsidiary of Sony (China) Limited, and its procurement, logistics and trading center in the country. Li & Fung Group, being one of the most time-honored exporters in Hong Kong, has built four core business fields – trade, logistics, distribution and retail, through around one hundred years of development. Sinar Mas Group is the biggest integrated forestry-pulp-paper papermaking group in China, and ranked among the top three worldwide.

BOC has actively devoted itself to assuming social responsibility and supporting the development of the real economy, and continuously strengthened its capabilities of domestic and overseas coordination, and global multi-platform services. With the deepening of China's foreign exchange management reform, the Bank will further leverage its group-based and global advantages, provide more expedite, efficient and better global financing and integrated services to all types of enterprises "Going global" and "Entering China", meet their varied needs for capital operation and management, and firmly adhere to delivery of excellence.

As the only centenarian financial enterprise in China, BOC is also the most internationalized and diversified bank of the country, with operations spanning a wide variety of sectors including commercial banking, investment banking, direct investment, investment management, insurance, fund and leasing, and overseas presence in 40 countries and regions. The Bank is the only financial institution from emerging market economies that has entered the list of global systematically important banks for three consecutive years, and has been one of the "Fortune Global 500" for 25 straight years. It is ranked 9th by capital strength among banks worldwide, with key financial indicators attaining world-leading levels. As of the end of March 2014, BOC's total assets amounted to RMB15.11 trillion.