Recently, with the joint recommendation of many world renowned banks including ABN AMRO, Industrial Bank (IB) became a senior member of Factors Chain International (FCI), the largest and most widely recognized one of such associations in the world, at 2014 FCI Annual Conference, which ringed down the curtain recently.
As learnt by the reporter, according to the relevant requirements of FCI, a primary member can be promoted to a senior one only when its international two-factor business volume reaches the given scale and it is recommended by more than 3 senior members. At present, there are 25 FCI members in China, of which 8 are senior members including IB and Bank of China.
IB joined FCI officially in 2009, starting to build its two-factor business framework. It has developed more than ten factoring products of two families: export factoring and import factoring in succession, and initiated business models including enhancement factoring and export factoring advance payment in China. In addition, the bank has successively developed domestic factoring business types such as seller factoring, financial leasing factoring, factoring pool financing, buyer factoring and reverse factoring, which have received desired market responses. Meanwhile, the bank has also actively explored cooperation with commercial factoring companies and leasing companies, making innovation in business cooperation models. At present, factoring businesses have become the most important product series in the bank’s supply chain finance.
“Becoming a FCI senior member and entering the first echelon of similar Chinese banks both means the full recognition of our bank’s market position and brand influence in the business area and stands for our higher business pursuit.” The person-in-charge of the Trade Finance Department of IB indicates that, in the future, IB will continue pushing forward innovation in relevant products and business models, provide in-depth services to import and export corporate customers, and offer them with better supply chain financial services constantly.
It is reported that FCI is the largest and most influential international factoring organization around the globe now. With nearly 300 members in 71 countries and regions around the world, FCI provides a range of services including business handling system, service codes, arbitration rules, marketing and training, data statistics and analysis. A range of regulations and protocols established by FCI including the General Rules for International Factoring have become business rules generally accepted in the industry.