Dubai: Agricultural Bank of China (ABC) Dubai Branch holds a grand ceremony in celebration of its opening and designation as the RMB clearing bank in the UAE. The Dubai Branch is ABC’s first RMB clearing bank designated by the People’s Bank of China and its second branch in the Middle East after the DIFC Branch. The significant role of the new branch is to improve ABC’s global clearing network, contribute to internationalization of RMB, and support the Belt and Road initiative. The opening of Dubai Branch is one solid step forward of the Bank’s international operation.
The UAE is one of China’s most important trading partners and also a pivotal country along the Belt and Road routes. Since the establishment of diplomatic relations over 30 years ago, China-UAE economic and trade ties have grown tremendously closer. China is now UAE’s second largest trading partner and UAE is China’s biggest export market in the Middle East. The ever closer cooperation in economy, trade and investment between the two countries provides the financial sector with solid ground for growth, and brings rising demands for banking services.
After its establishment, ABC Dubai Branch will provide diversified banking services including but not limited to RMB clearing, international settlement, trade finance, syndicated loans and foreign exchange transactions. The Branch will utilize ABC Group’s advantages in customer resources, liquidity and network coverage, to provide premium and efficient financial services for “Going Global” Chinese corporations, foreign companies in close trade ties with China, as well as UAE enterprises and financial institutions. At the opening ceremony, Mr. Zhao Huan, President of ABC, addressed in his speech that ABC Dubai Branch, operating on a strictly compliant basis, would actively participate in the development of an offshore RMB market in UAE, and promote the use of RMB in China-UAE trade, investment, payment, settlement and market transactions, to support the fast-developing bilateral financial cooperation.
In response to the recent internationalization trends of RMB, corporate clients and financial assets, ABC continues to improve its overseas network coverage and implement its international strategy in a stable manner. By the end of 2016, ABC has set up 18 overseas institutions and one joint-venture bank in 15 countries and regions, and developed correspondent banking relationships with over 1600 banks in around 140 countries and regions. So far, ABC’s global financial service network has covered major financial centers as well as countries and regions in close economic and trade ties with China. The Bank’s international operation steadily grows.
ABC’s development is reflected in the enhancement of its brand image in the global market. In 2016, ABC ranked No.5 in the Banker’s Top 1000 World Banks by tier-1 capital, and No. 29 in the Fortune’s Global 500.