Bank Of China Officially Opens RMB Clearing Bank In Cambodia
The Bank of China officially inaugurated its Renminbi (RMB) Clearing Bank in Cambodia during a ceremony attended by prominent dignitaries and representatives from various sectors on November 22, 2024.
The launch ceremony was attended by H.E. Rath Sovannorak, Deputy Governor of the National Bank of Cambodia (NBC); Zhong Jie, Commercial Counselor from the Chinese Embassy in Cambodia; and Lin Jingzhen, Executive Vice President of the Bank of China, who all delivered speeches. Zhou Yongkun, Deputy Director of the Macroprudential Management Bureau of the People’s Bank of China, also contributed via a video address.
During the event, the Bank of China hosted a bilateral monetary cooperation forum, where businesses and financial institutions from both nations engaged in discussions aimed at promoting the use of local currencies in trade.
The Bank of China Phnom Penh Branch also signed RMB service cooperation agreements with Canadia Bank Plc. and Advanced Bank of Asia (ABA Bank).
According to the bank’s press release, the opening of the RMB clearing bank in Cambodia will enable customers in both Cambodia and China to enjoy a comprehensive range of financial services, including RMB clearing and settlement, liquidity management, investment and financing support, direct currency exchange transactions, and QR code payment services.
“It will further facilitate the use of local currencies in bilateral trade and investment, enhance China-Cambodia economic relations, and contribute to the building of the China-Cambodia community with a shared future in this new era,” the release stated.
The Bank of China Phnom Penh Branch was established in 2010 as the first Chinese bank in Cambodia. Over the past decade, the branch has acted as the main service provider for cross-border RMB business, pioneering several RMB products and maintaining its leading position in RMB clearing volume in Cambodia.
As China’s most globalised bank, the Bank of China operates in 64 countries and regions, with 15 serving as local RMB clearing banks. The bank’s cross-border RMB clearing volume reached 1,000 trillion yuan in the first three quarters of 2024, solidifying its global leadership position.
In 2014, another Chinese bank, the Industrial and Commercial Bank of China (ICBC), was also granted permission by the NBC to act as a clearing bank for the Chinese yuan in Cambodia, following Laos and Singapore.