Agricultural Bank of China developing its business in Russia
International financial giant Agricultural Bank of China started business cooperation with Russian corporations and institutions .
ABC Moscow, a subsidiary Bank of the Agricultural Bank of China (ABC), one of the world's largest financial group, has received a banking license from the CBR in December 2014. ABC, according to Bloomberg, is in the top 10 global banks by assets ($2.4 trillion), and also occupies the third position in the Forbes 2015 ranking of the world's largest joint-stock companies. The main Russian ABC division business goals:
• to support various Russian-Chinese projects;
• cross-border financing;
• development of settlements in the national currencies of Russia and China, etc.
Analysts had estimated the chances of ABC Moscow of success as quite high at the stage of entering the Russian market. Although ABC Moscow is still in the beginning of its career in the Russian market, it is making certain progress: the credit organization became prominent one in the Russian financial arena; it is rather active player in corporate services. The Bank grants loans to companies involved in joint projects with the leading Russian credit institutions, including Sberbank and VTB. The main customers of ABC Moscow in Russia include:
• Chinese investors;
• international corporations;
• large Russian enterprises;
• financial institutions.
Agricultural Bank of China (ABC) – the fourth Chinese Bank entering Russian market, signals the good Russian-Chinese relations in financial development, as well as the importance of Chinese capital in the Russian economy. In addition to standard lending the Bank today is interested in the following areas of business:
• syndicated loans;
• pre-export loans to Russian companies, supplying goods to China and other Asian countries;
• financing the purchase of goods, materials and equipment in China and other Asian countries;
• collaboration with corporate clients in the field of payments: payments, trade finance, letters of credit (for export to China or in procurement in Asia), etc.
In addition, ABC Moscow offers a wide range of financial markets services – forwards and SWAP contracts, SPOT transactions, etc.
ABC Moscow hopes that Russia will become one of the priority markets for further business development.