Bank of China Shanghai Branch takes the lead in rolling out the cross-border financial service platform’s facilitation service for domestic freight foreign exchange payment convenience.

Reposted from: Xinhua Finance

On April 1, with guidance from the Shanghai Branch of the State Administration of Foreign Exchange, the Shanghai Branch of Bank of China took the lead in rolling out, via the Cross-Border Financial Services Platform, a convenience application scenario for settling freight-related foreign exchange payments domestically for multiple enterprises within its jurisdiction. This is another vivid example of the bank continuing to deepen the application of financial technology—using digital means to solve the long-standing challenges of domestic freight-related foreign exchange payment, and to further optimize the trading business environment.

Conventional domestic freight-related foreign exchange payment involves pain points such as cumbersome procedures and time-consuming document reviews, which especially affects the capital turnover efficiency of high-frequency payment enterprises such as freight forwarders. The domestic freight-related foreign exchange payment convenience application scenario launched this time shares invoice data with the tax authorities. It builds a fast verification channel for real and trustworthy ocean freight invoices for both banks and enterprises, effectively preventing risks such as repeated foreign exchange settlements or over-limit payments. “This application scenario supports the handling of batch foreign exchange payments, effectively addressing the ‘procedures that are complex and approvals that are slow’ problem in domestic freight-related foreign exchange payments. Through technology enablement and data sharing, as well as the enrichment of blockchain scenario applications in the shipping and trade field, our bank will provide enterprises with safer, more convenient, and more efficient financial services.” A relevant person in charge of the Shanghai Branch of Bank of China said.

Over the years, the Shanghai Branch of Bank of China has actively participated in the pilot and promotion of innovative application scenarios on the Cross-Border Financial Services Platform, and has successively implemented multiple innovative scenario businesses, including financing for export accounts receivable, financing backed by export credit insurance policies, and verification of the background for new offshore international trade business. Next, the Shanghai Branch of Bank of China will stay true to its original intention of “finance for the people.” Using the Cross-Border Financial Services Platform as an important carrier, it will continue to optimize service models and improve service quality and effectiveness, contributing the strength of Bank of China to accelerating the development of Shanghai as an international financial center and to promoting high-quality economic development and high-level opening up to the outside world. (Deng Kan)

Editor: Ge Jiaming