Research On Development Of Suzhou A Bank’s Cross-border RMB Business

After six years of exploration since July 2009, our cross-border RMB business pilot work carried out smoothly, which has entered a stage of comprehensive development. With constant growth of scale and improvement of policy, cross-border RMB business gradually developed into mature from the immature. It made remarkable achievements in the promotion of trade industry and investment facilitation, playing a positive role on China’s foreign economic development. Suzhou carried out cross-border RMB business since 2010 and its cumulative business volume has exceeded one trillion yuan. With the deepening of RMB internationalization, commercial banks will take the promotion of cross-border RMB business as a priority. How to seize this historic opportunity to develop new market, which will better cross-border RMB business, has become an important subject of commercial banking strategy research.This article firstly reviews the development process of China’s cross-border RMB business and all related policies, which makes a contribution to summarize the policies in Suzhou with local characteristics. Then it analyzes the cross-border RMB business developing status of A Bank Suzhou Branch, points out the practical problems existing in the course of its development and the internal causes from aspects of customers, systems, products, team and risk control. At last, by using Porter’s five forces model to analyze the facing external industry competitive environment, it proposes some targeted business development strategy and suggestion. This paper makes a comprehensive analysis of A Bank’s cross-border RMB business by using theoretical research combining with practical research in order to help its future development.