Guangdong unveils free trade account system

Guangdong followed Hainan to become the second province approved to access a free trade account system by the People’s Bank of China on Nov 26.

The Nansha Financial Holding Company, an important investment and financing platform built by the local government of Guangzhou’s Nansha district, took the lead in joining up the system.

Lai Yue, chairman of company, said that it was a great honor to become the first enterprise to launch the free trade account system in the China (Guangdong) Pilot Free Trade Zone.

The system enables clients to open a unified domestic and foreign currency account at Guangzhou’s financial institutions, creating a more convenient circulation of capital, in accordance with regulations. It represents an effort to promote capital account opening-up and convertibility.

Thanks to the system, financial enterprises can optimize financial costs including capital raising, exchange and account management.

In the meantime, they can link up better with local industries in shipping logistics and high-end manufacturing by taking advantage of both domestic and foreign financial markets.

The Nansha Financial Holding Company is a force for driving financial innovation. It zeroes in on three main businesses -- financial and quasi-financial license operating, fintech strategic investment, and green and sustainable financial services -- and provides support to the district’s bricks-and-mortar industries, thus helping to foster a key hub for opening up in the Guangdong-Hong Kong-Macao Greater Bay Area.