Guangdong was approved to access the free trade account (FT account) system by the People's Bank of China on November 26th. The Agricultural Bank of China (Guangdong Branch) has thus far offered an exchange settlement of 100 million USD, letter of credit of 21.36 million USD and a loan of 27.76 million RMB for free trade enterprises.

Banks are trialling independent account systems for local enterprises and individuals engaging in overseas business and free trade.

On the first day of launch, ABC (Guangdong Branch) opened accounts for 12 enterprises registered in the Nansha area of the Guangdong FTZ, including Nansha Financial Holding Company, and accepted applications from nearly 100 enterprises in total.

Over the years, Guangdong FTZ has made efforts to establish an account management system in accordance with the development of Guangdong-Hong Kong-Macao Greater Bay Area (GBA).

The implementation of the FT account system enables Guangdong FTZ to promote cross-border business in RMB, provide an innovative management model for cross-border funds, and deepen financial innovation in the GBA. Thanks to the system, companies can more conveniently carry out investment, financing, and cross-border transactions applicable to the Guangdong FTZ.

According to a senior official from ABC (Guangdong Branch), the bank has launched accounts for 65 companies in the fields of e-commerce, financial services, retail, bio-medicine, automotive manufacturing and IT.

There next step is to further boost cross-border financial development in Guangdong.

Reported by Will

Edited by Simon