ANZ, one of Australia’s ‘big four’ banks, said that ANZ China has secured approval from the People’s Bank of China to launch a free trade unit (FTU) in its Shanghai branch.
ANZ entered China in 1986 and ANZ China has a total of seven branches, four sub-branches and an operations hub in Chengdu. The bank said that the FTU approval means ANZ China’s Shanghai Free Trade Zone (SFTZ) sub-branch, opened in April 2014 can better facilitate capital account transactions for ANZ corporate customers and interbank branches within the SFTZ, as well as for its offshore corporate customers.
The bank added that all SFTZ business will be partially separated from the onshore financial system in a move expected to further open up opportunities to private and foreign capital investors in this experimental area.
“The FTU is another key milestone in deepening China’s financial reform in the SFTZ, further promoting financial innovation while effectively controlling risks,” said ANZ China chief executive (CEO) and head of Greater China, Huang Xiaoguang.
“This approval leaves ANZ well-positioned to facilitate our clients’ growing cross-border business needs by connecting them with capital, as well as to contribute to the financial market development agenda in China.”
ANZ added that the FTU enables it is able to support its corporate customers in establishing cross-border transaction settlements and offshore borrowing business with lower financing costs, while also making it more convenient for them to invest in the overseas market.
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