One of UAE's financial institutions, Mashreq announced offering Renminbi (RMB) account services to its customers to become the first UAE bank extending this service. This will facilitate commercial contracts to be agreed in RMB, allowing Chinese suppliers to invoice and receive settlement from UAE buyers in the local currency RMB, which enables them to avoid foreign exchange risks and costs. The service is set to benefit UAE businesses by offering them to negotiate favourable terms for the goods and services they are purchasing. Customers now have the opportunity to manage RMB payments and receipts better thereby improving working capital efficiency. With approximately 4000 Chinese companies operating in the UAE and a huge community of 200,000 Chinese residents, the new RMB account services from Mashreq is set to add value to the trade relations between China and UAE. Julio De Quesada, Head of Corporate Investment Banking Group, Mashreq commented, "Introducing the offshore RMB account services to our customers is an extension of our commitment to offer sophisticated financial services and to enrich our existing suite of Global Transaction Products & Services. Trade with China is booming and is expected to hit $100bn by 2015. This service will facilitate the growth, encouraging Middle Eastern companies to settle their transactions in RMB with Chinese counterparties aiding the growing trade with China." Mashreq's offshore RMB account services will offer Current Accounts, Trade Services and Foreign Exchange Services. All companies registered in UAE can send and receive payments to and from China for settlement of underlying trade transactions. The newly launched service offers customers 24/7 access to their RMB account through MashreqbusinessOnline and the opportunity to settle and receive payments in Renminbi (RMB) from counterparties in Hong Kong and across China. Ameinfo
