All news

Sanya opens first account for a non-resident company in a free trade zone

FTNs were launched by the People's Bank of China in 2014

SANYA, June 26. /TASS/. The Bank of China's Sanya subsidiary has registered the first account of a non-resident free trade zone (FTN) company in the history of the financial sector of the city, reported Sanya Daily.

According to the news outlet, the account belongs to a well-known foreign asset management company. The first $ 20 million was already transferred, which was also the first such operation in the history of the city.

According to the publication, the Bank of China's Sanya subsidiary welcomed the entry of a new foreign enterprise into the free trade zone and will actively develop new areas of financial products and services to serve foreign companies and investors. According to the bank's representatives, the financial institution will do utmost to service such accounts, as well as to ensure transactions and transfers of funds in different currencies.

FTNs were launched by the People's Bank of China in 2014. They allow foreign companies to open settlement accounts with banks in free trade zones and, according to a simplified scheme, conduct transnational transactions, as well as transfers to other similar accounts in yuan and foreign currencies. 

As part of the Chinese government's program to create a free trade zone and port on Hainan, China intends to establish an integrated and modern production system based on the advantages and characteristics of this tropical island. In particular, the Chinese authorities plan to focus on the active development of tourism sector, modern service industry and high-tech.

Earlier, the Central Committee of the Communist Party of China and the Сhinese State Council published the “General Program for the Establishment of a Free Port on Hainan,” according to which the island’s administration intends to create an effective system to fulfill a number of important social and economic goals by 2025, and within 10 years to decisively enhance the innovative mechanisms for the region's development.