Yunnan to establish financial service centre for S and SE Asia

On November 8, the Yunnan provincial government issued the Implementation Suggestions on the Establishment of a Financial Services Centre for South and Southeast Asia (hereafter referred to as the Suggestions). The Suggestions is a bid to guarantee financial services for the province’s real economy, while promoting cross-border RMB business innovation, developing cross-border RMB financing and expanding cross-border RMB use. By 2020, the province is expected to reap an annual added value of 200 billion yuan in its financial sector, twice as much as in 2015.

According to the Suggestions, Yunnan should encourage qualified domestic and foreign banks, securities companies, insurance companies and other financial institutions to establish regional headquarters, branches and other functional institutions in the province. In particular, the Suggestions supports the construction of overseas development zones and land-based border ports. Commercial banks, under the principle of commercial sustainability and efficient risk control, are encouraged to set up branches and outlets at important border crossings, cross-border economic cooperation zones, border economic cooperation zones, comprehensive bonded zones, development and opening-up pilot zones and port duty-free shopping districts. In doing so, they are expected to expand their financial coverage at border ports and economic cooperation zones while enhancing financial services in these areas. In opening-up and cooperation zones, companies will also be allowed to open offshore settlement accounts and handle offshore financial business. Relying on Ruili, Mohan, Hekou and other development and opening-up pilot zones, the province will expand its financial opening-up and seek to provide various types of offshore financial services.

In terms of the innovative development of cross-border RMB business, Yunnan province will establish cross-border payment and settlement channels, develop cross-border e-commerce channels and encourage banks and third-party payment service agencies to build multi-country retail payment platforms and financial information service bases. The province will help foreign trade enterprises open up South and Southeast Asian markets through such e-commerce platforms. The overseas branches of banks will have the opportunity to open RMB settlement accounts to simplify cross-border RMB settlement formalities and audit procedures while also facilitating more trade and investment. 

Yunnan to establish financial service centre for S and SE Asia

On November 8, the Yunnan provincial government issued the Implementation Suggestions on the Establishment of a Financial Services Centre for South and Southeast Asia (hereafter referred to as the Suggestions). The Suggestions is a bid to guarantee financial services for the provinces real economy, while promoting cross-border RMB business innovation, developing cross-border RMB financing and expanding cross-border RMB use. By 2020, the province is expected to reap an annual added value of 200 billion yuan in its financial sector, twice as much as in 2015. According to the Suggestions, Yunnan should encourage qualified domestic and foreign banks, securities companies, insurance companies and other financial institutions to establish regional headquarters, branches and other functional institutions in the province. In particular, the Suggestions supports the construction of overseas development zones and land-based border ports. Commercial banks, under the principle of commercial sustainability and efficient risk control, are encouraged to set up branches and outlets at important border crossings, cross-border economic cooperation zones, border economic cooperation zones, comprehensive bonded zones, development and opening-up pilot zones and port duty-free shopping districts. In doing so, they are expected to expand their financial coverage at border ports and economic cooperation zones while enhancing financial services in these areas. In opening-up and cooperation zones, companies will also be allowed to open offshore settlement accounts and handle offshore financial business. Relying on Ruili, Mohan, Hekou and other development and opening-up pilot zones, the province will expand its financial opening-up and seek to provide various types of offshore financial services. In terms of the innovative development of cross-border RMB business, Yunnan province will establish cross-border payment and settlement channels, develop cross-border e-commerce channels and encourage banks and third-party payment service agencies to build multi-country retail payment platforms and financial information service bases. The province will help foreign trade enterprises open up South and Southeast Asian markets through such e-commerce platforms. The overseas branches of banks will have the opportunity to open RMB settlement accounts to simplify cross-border RMB settlement formalities and audit procedures while also facilitating more trade and investment.