pursuing excellence - exportnz · a glance of 2015 boc new zealand cross-border e-commerce business...

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2 Pursuing Excellence

Info graphs about today’s conference

120 Companies Chinese

Companies

54

324 Business Matching

60 Translator

10 Media 11

MOU Signed

20 Live

Chats

Fully Funded by BOC

100%

Market Cap of the Chinese Co.

>$17 billion

>400 attendees

NZ


• Market Capitalization:- USD 144.16 Billion (March 11, 2016)

Ranked No. 6 in the world

• Total Assets:- USD 2,629.31Billion (June 30, 2015)

Ranked No. 4 in the world

• Credit Rating:-

Standard & Poor A

Moody A1

Fitch A

In 1912, the Bank renamed as Bank of China

First overseas branch established in London

BOC’s New Zealand branch officially open in Auckland on 21st November 2014

Bank of China Group

4

London Branch 1929 Pursuing Excellence


Bank of China Group – Award & Honors

2006-2015 Triple A Best Trade Finance Bank in China 2011-2015 Best Trade Finance Deal 2006-2015 Awards for Excellence

Bank of China – Best Chinese Trade Bank

2008-2015 Best Chinese Trade Bank

2015 The Asian Banker Achievement Award

for Trade Finance in China 2010 Best Confirmation Bank in

Emerging Markets

2015 Best Trade Finance Provider in China



Preface


Small and Medium-Sized Enterprises (SMEs) are an important force for economic and social development, playing an irreplaceable role in job creation, technical innovation, economic growth and other aspects. In response to the PRC’s strategy of “One Belt; One Road”, Bank of China Group (BOC) has practiced the operation philosophy of “Delivering Excellence, Serving Society” and initiated the “BOC Global SME Cross-Border Matchmaking Service” in the World. This matchmaking service overturns the traditional mode for inviting investments but adopts an innovative mode of “One-to-One” or “One-to-Many” negotiation and connection process. The process involves a “6 Steps” guidelines including establishing database for Chinese and foreign enterprises, customer matching, remote online matching, one-to-one meeting, onsite inspection and all-round banking service. This matchmaking service removes various barriers enterprises may encounter in cross-border business and helps them realise international development. In 2015, relying on its interconnection between domestic and overseas institutions, BOC launched a series of different matchmaking activities for Chinese and foreign SMEs, 11 SME Cross-Border Investment & Trade Conferences were successfully held in US, UK, Germany, France, Italy, Netherlands, Malaysia, Hebei, Guangxi, Beijing and Anhui covering high-end manufacture, environmental protection, information technology, medical and health, agriculture, food and beverages, machinery and equipment, chemical, automobile and other industries. These conferences attracted over 4,000 SMEs and nearly 10,000 people from political and business circles at home and abroad. More than 3,000 cooperation intentions were reached in about 4,500 one-to-one negotiations. “BOC Global SME Cross-Border Matchmaking Service” was highly recognised and commended by governments and enterprises home and abroad.


A Glance of 2015 BOC Global SME Cross-Border

Investment &Trade Conferences



A Glance of 2015 BOC New Zealand Cross-Border E-Commerce

Business Matching and Conference

12

26th November 2015 at Viaduct Event Centre

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BOC NZ - Core Banking Services

LENDING PRODUCTS

Fixed Asset Loan o Issued to address the financing demand of the enterprises' fixed asset investment

activities

Working Capital Loan o Designed to meet your short term financing demand during the process of production

and operation, thus ensuring the normal running of production and operation activities

Credit Line Services o Tailored facility to suit your requirements

13

Corporate & Commercial Banking

• Lending Products • Global Trade Services

• Global Markets

• RMB Offerings

• Global Insights and Facilitation Services

With the assistance of our Corporate & Commercial Banking specialists, we can help you grow your business rapidly by providing a suite of financing alternatives ranging from short, medium to long-term loans with fixed or revolving credits.

Flexible repayment from monthly to quarterly repayment can be structured to suit your funding needs.

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• Lending Products

• Global Trade Services • Global Markets

• RMB Offerings


GLOBAL TRADE SERVICES

Trade Settlement

o Letter of Credit Issuance, o Letter of Credit Advising & Confirmation o Inward & Outward Remittance o D/P (Documents against Payment) o D/A (Documents against Acceptance)

Trade Finance

o Import Financing, o Letter of Credit Discounting o Import Invoice Financing o Export Invoice Financing o Packing Loan o Forfaiting & Factoring

Letter of Guarantee

o Tender Guarantee/Bid Bond o Advance Payment Guarantee o Financing Guarantee o Payment Guarantee

Bank of China, has the largest market share in international trade settlement business in the Mainland of China. With a professional team specialised in trade practices and regulations in the Mainland of China and Auckland office, coupled with the close cooperation with the extensive service network of Bank of China, our parent company, in the Mainland of China and overseas countries as well as its worldwide network of correspondent banks, we are able to provide you with unparalled cross-border trade settlement and trade financing services.

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• Global Trade Services • Global Markets

• RMB Offerings


Ch

ina

New

Zealand

Bank Importer

Exporter BOC NZ

1.

Pu

rch

ase

Co

ntr

act

Si

gned

2.

Ad

van

ce P

aym

ent

($)

3.

Exp

ort

er p

rep

ares

th

e G

oo

ds

4. Documents Presentation

6. Payment

($)

1. Importer and Exporter sign a basic trade contract and agree on the arbitrary agency for the settlement dispute;

2. Importer advances the payment to the Exporter’s bank account opened with BOC NZ, which will be held under Escrow/Frozen by BOC NZ;

3. Exporter prepares the Goods according to the requirement in the basic trade contract;

4. The Exporter handles the presentation of documents with BOC NZ;

5. Once the documents are correct after review, BOC NZ will notify Importer for confirmation;

6. On the premise of receiving Importer’s confirmation, BOC NZ releases the funds in the Escrow A/C and pays to the Exporter; and

7. BOC NZ may (at its discretion) consider providing a bridging loan to the Exporter to fund the working capital requirements specific to the shipment

2. Advance Payment Instruction

Introducing “BOC Trade Easy”:-

Tripartite Escrow A/C Agency Services & Pre-Shipment Bridging Loan

7. Pre-Shipment Funding Arrangements

($)

Steps

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BOC NZ – Core Banking Services

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GLOBAL MARKETS FX Hedging Products

FX Spot Transaction: is an agreement between two parties to buy one currency against selling another currency at an agreed price for settlement on the spot date(t+0,1,2).

o Fast execution, simple

FX Forward Contract: A binding contract in the foreign exchange market that locks in the exchange rate for the purchase or sale of a currency on a future date.

o Provides certainty on FX rate on a future date. FX Option: gives the right but not the obligation to exchange money denominated in one currency into another currency at a pre-agreed exchange rate on a specified date.

o Offers flexibility on whether settle at the pre-agreed FX rate or at the market.

FX Order: is an instruction to buy or sell currencies at a specified exchange rate.

o Monitoring the market 24/7 o Certainty in FX rate, not execution

Interest Rates Hedging Products

Interest rate swaps (IRS): An interest rate swap is an agreement between two parties (known as counterparties) where one stream of future interest payments is exchanged for another based on a specified principal amount.

o Swapping floating rate to fixed rate when market rate is going up o Swapping fixed rate to floating rate when market rate is going down

Cross currency swaps (CCS): is an agreement between two parties to exchange interest payments and principals denominated in two different currencies.

o Hedging foreign loan principal FX and interest rate risk



• Global Trade Services

• Global Markets • RMB Offerings


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• Global Markets

• RMB Offerings • Global Insights and Facilitation Services

Importer

Exporter

Export of Goods

RMB Liberalisation & Opportunities

RMB Payments

Advantages of Trade Settlement in RMB As the market framework of offshore RMB develops and there is increasing use of offshore RMB, enterprises that take the lead in using RMB overseas can enjoy the benefits of RMB internationalisation at an early stage.

o Avoid double conversion

o Diversify exchange rate risk exposure

o Fast and efficient Cross-Border Settlement and Clearance

o More transparent pricing for Importer

o Access to wider Importer base

BOC NZ - RMB Offerings

o RMB Deposit Account & Current Account

o RMB Loans, Underwriting, Bond Issuance, RMB Syndicated Loans and Cross-

Border Trade Finance Facility

o RMB Foreign Exchange & Interest Rate Hedging

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• Global Markets

• RMB Offerings • Global Insights and Facilitation Services

RMB Business Opportunities

What are the advantages of trade settlement in RMB for corporations? As the market framework of offshore RMB develops and there is increasing use of offshore RMB, enterprises that take the lead in using RMB overseas can enjoy the benefits of RMB internationalisation at an early stage.

Optimise Exchange Rate Risk Management and Reduce the Costs of Conversion and Transaction Businesses that conduct trade settlement or direct domestic investment in RMB will reduce their exposure to currency mismatching due to the fluctuations of the RMB exchange rates. At the same time, they can hedge the RMB income and expenses and thus save on exchange costs. Foreign enterprises investing in China can choose cross-border RMB loans as an alternative method of financing.

Develop New Markets and New Products China is one of the largest import and export markets in the world. Companies that adopt RMB settlement with trade partners in China will reduce their financial and operating costs in currency exchange, enhance competitiveness and bargaining power in cross-border trade business and access a wider network of potential new trading partners. They can also expand the business scope and develop emerging markets.

Broaden Investment Channels Underpinned by the investment potential of RMB, enterprises can broaden the investment scope and increase the returns of their investment through diversified RMB investment products. They can also increase non-operating income, obtain more capital for business expansion, and create greater value for shareholders.

Bank of China have always been in the forefront in RMB Cross-Border Trade Settlement and Trade Financing since we launched cross-border RMB trade settlement business. To better meet your specific needs, NZD and USD trade facilities offered by us can be converted into equivalent RMB trade facilities.

On July 6 2009, Bank of China Shanghai Branch and BOC Hong Kong successfully done the first cross-border trade business in China

10 overseas branches designated as local RMB Clearing Banks. Our Global RMB Clearing Market Share is over 32%

The volume of cross border RMB settlement in 2015 exceeds RMB5.39 trillion, No.1 Globally

Pursuing Excellence






• Global Markets

• RMB Offerings


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Buyers

Investors

Suppliers

Sellers

GLOBAL INSIGHTS & FACILITATION SERVICES

Pursuing Excellence

Business matching & M&A facilitation:

o A great opportunity to tap into BOC‘s extensive client base and global network.

o Proactive in matching New Zealand businesses with investors from China thorough our communication channels.

o Search and select qualified investors or joint venture partners in China, design a cross-border financing plan and conduct a due diligence along with our third parties in China.

o Minimise your market entry risks, increase the sales possibilities of your businesses.

o Provide a full financial services, such as M&A loan facility and supply chain funding.


Contacts Details


Wee Li Cheong Deputy Director DDI: +64 9 980 9056 Mobile: +64 21 212 5093 Email: [email protected]

Kevin Liu Associate Director DDI: +64 9 980 9059 Mobile +64 21 588 518 Email: [email protected]

Business Development Department

Eric Teh Relationship Manager DDI: + 64 9 980 9057 Mobile: +64 21 488 004 Email: [email protected]

Trade Department

Michael Shang Associate Director DDI: +64 9 980 9039 Mobile: +64 21 199 9188 Email: [email protected]

Foreign Exchange

Alex Ma FX Dealer DDI: +64 9 980 9030 Mobile: +64 21 168 4224 Email: [email protected]

Facilitation Services

Tommy Zhang Manager DDI: +64 9 980 9033 Mobile: +64 21 760 889 Email: [email protected]

0800 69 5566 [email protected]

Bank of China (New Zealand) Limited Level 17, Tower 1, No. 205 Queen Street, Auckland, New Zealand


mailto:[email protected]






ALWAYS WITH YOU KEEPING IN TOUCH


Appendix – Pictures of the Conference held on 25th May 2016


Main Conference Hall

Product Display

Matching Session Signing Ceremony


Appendix – Pictures of the Conference held on 25th May 2016

23 Pursuing Excellence Live Video Conferencing Live Video Conferencing

Main Conference Hall

Matching Session
