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

It has been five years since cross-border RMB businesses were launched in July, 2009. During the past five years, the cross-border RMB pilot areas are extended from Shanghai and Guangzhou and other three cities to the nationwide. Cross-border RMB products are extended from settlement to financing, from current account to capital account. Now, RMB has become the second cross-broader payment currency in our international businesses and the seventh transaction currency in the globe. However, continuous rapid development of cross-border RMB settlement business depends on the support and promotion of our commercial bank and at the same time it brings the unprecedented opportunities and challenges to the commercial bank. More and more domestic commercial banks take cross-border RMB settlement business as a strategic business to promote. How to catch opportunities and expand market as soon as possible has become an important research subject of commercial banks.The paper takes A bank as the object to study problems and solutions of cross-border RMB settlement business development. At first, it reviews the development history of cross-border RMB settlement business, then analyzes current situation of A bank’s cross-border RMB settlement business and make a list of strength, weakness,opportunity and threats. As the paper is limited by materials, it takes B sunbranch(the first-tier subbranch of A bank) as an example to analyze problems and causes in cross-border RMB settlement business in terms of customers, channels, systems, service, products and structure in detail and propose targeted suggestions in order. at last, the paper gives supporting measures to ensure smooth development of A bank’s cross-border RMB settlement business. In discussion, it uses the method of combining theory with practice, systematic analysis with individual analysis and applies SWOT matrix to make strategic analysis of A bank’s cross-border RMB settlement business. It hopes to provide help and reference for further developing cross-border RMB settlement business.