The Research On Path Selection Of ICBC’s Cross-border RMB Business Development

Since the outbreak of global financial crisis in September2008, with the trend of risingRMB demand from neighboring countries and regions, China government has apparentlyaccelerated the progress of RMB internationalization. As Chinese commercial banks haveoperated RMB business for a long time, the RMB internationalization will bring them ahistoric opportunity to expand the international market, strengthen foreign institutionalposition, and enhance international competitive ability. Compared with leading internationalcommercial banks, Chinese commercial banks are located in different stages of historicaldevelopment, macro different economy environment, different management pattern, anddifferent core competence, so our bank internationalization path must have the very bigdifference, impossible to copy foreign experience theory and mode. At present, the overseasmarketing knowledge enhancing and coping ability of Chinese commercial banks mainlydepends on" learning by doing", and the guidance of theory is very little.The paper applies combining methods of theory and practice, qualitative andquantitative analysis, comprehensive and focuses study. By analyzing the definition andclassification of commercial bank internationalization, and causes of commercial bankinternationalization path, this paper gives research on development path characteristics ofcross-border RMB business in ICBC, taking development path of ICBC cross-borderRMB business as the breakthrough, having in-depth discussion on present situation, potentialproblems and main influence factors of ICBC cross-border RMB business, focusing on theanalysis of driving force, path selection principle and the whole plan, combining currentdevelopment situation of cross-border RMB business of ICBC in the ASEAN region.By analyzing RMB business development path of ICBC, this paper draws the followingconclusions:Firstly, as the progress of RMB internationalization is speeding up, the development ofcross-border RMB business will be the key of commercial bank competitionSecondly, from the main macro factors influencing ICBC cross-border RMB business,institutional factors especially the relevant regulatory authorities will be the main factorswhich affect cross-border business of RMB path selection.Thirdly, from the main micro factors influencing cross-border RMB business of ICBC, commercial bank’s R&D capability become more important.Fourthly, ICBC has its own specific and common sense in the cross-border RMBbusiness path selection principle.Fifthly, for the reason that commercial banks can take active adjustment on microfactors of commercial banks which represented by ICBC, should base on geographicaladvantages, construct R&D as its core capability, and set up pilot transactions for thechannel to select cross-border RMB business development path, and as the same time,safeguard with the system construction.