JSC Bank "PSCB" gains one of the leading positions in the Chinese Renminbi Yuan (RMB) trading
On December 16, 2015 JSC Bank "PSCB" was awarded the certificate “Regional bank – a leader in the Yuan trading” by the Moscow Stock Exchange.
On December 16, 2015 JSC Bank "PSCB" was awarded the certificate “Regional bank – a leader in the Yuan trading” by the Moscow Stock Exchange. This achievement results from the five years of persistent efforts taken by PSCB aiming to promote RMB settlements in the North-Western region.
The story of the success started on March 25, 2010 when PSCB became one of the first regional banks in St. Petersburg and the Northwestern Federal District and one of the few ones in Russia to specialize in international settlements in RMB and began to provide RMB trans-border payment services in St.
Petersburg and in Moscow to its customers that had a significant turnover and foreign trade contracts with partners from the People's Republic of China (PRC). RMB settlements contribute to the further improvement and development of our customers’ relationships with their Chinese suppliers and make it possible:
- to avoid paying additional currency conversion fees. Prices in EUR or USD quoted by Chinese suppliers usually include currency conversion fees to be paid to their banks (PRC suppliers are obligated to sell proceeds in foreign currencies received under cross-border mercantile and service trades with a foreign country). Companies can mitigate currency risk and save around 2-3% of the amount of the proceeds if they switch to RMB settlements.
- to cut time periods required for cross-border funds transfers to reach the receivers. As China relaxes its capital controls - the Chinese regulators seek to expand yuan settlements in the world and Chinese banks are interested in providing services to corporate clients basing on the standard KYC and KYB practice, the efficiency of RMB-denominated cash flows management is growing. Routing payments via Russian subsidiaries of Chinese banks makes it possible to execute payments within one working day and to avoid numerous KYC, AML and FATCA related requests of European and American banks arising in the course of settlements in USD and EUR.
- to reduce essentially currency volatility risks. Tracking currency risk on two currency pairs, e.g. RUB/USD and USD/CNY is more difficult than monitoring just one currency pair – RUB/CNY.
According to the Moscow Interbank Currency Exchange statistic data CNY trading value in 2015 has soared:
- On August, 2015 CNY currency transactions volume grew fourfold in comparison with the same period of the previous year and amounted to CNY 18,4 bln (Trading Value RUB 191,4 bln) representing the record figure over the entire history of CNY trading since its launch at the end of 2010.
- On August 24, 2015 the all-time daily record in terms of CNY transactions volume rose to CNY 1,95 bln (Trading Value RUB 21,4 bln).
JSC Bank PSCB is a universal commercial bank headquartered in St. Petersburg. The Bank was established in 1993 when it received its general banking license (No. 2551) from the Central Bank of Russia (CBR). The Bank is a participant of the state deposit insurance system of the Russian Federation.
On August 25, 2015 the international rating agency Moody's Investors Service affirmed the Bank’s global and national ratings at B2/NP/Baa1.ru., the outlook for all ratings is "stable".
JSC Bank PSCB renders the complete range of banking services to legal entities and individuals in St. Petersburg and Moscow. The Bank is one of the leading banks in the field of international transactions in St. Petersburg. The Bank is a promoter of the federal payment service Kassira.net .
International Business and Foreign Investment
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