HSBC Bank (China) Company Ltd. (HSBC China) says it has completed its first individual RMB cross-border settlement under mainland China’s current account in the Shanghai pilot free trade zone, according to a company announcement.
HSBC China assisted an individual customer who works in the pilot zone to transfer their RMB income to their overseas RMB account in Hong Kong.
The new policy measures, announced by the People’s Bank of China’s (PBoC) Shanghai
branch recently, say that individuals who are employees or sole proprietors within the Shanghai pilot zone can open individual RMB settlement accounts or privately-owned business accounts for current account RMB cross-border settlement.
"This newly-launched service facilitates RMB cross-border remittance for individuals in the pilot zone, thereby promoting wider cross-border use of the
RMB," says Richard Li, head of retail banking and wealth management at HSBC China.
In 2013, HSBC launched RMB cross-border remittance for individuals in the Kunshan experimental zone in Jiangsu province, under a pilot initiative approved for the zone.