Citi's Bank Services Group, a division of Global Transaction Services, has announced a partnership with Agricultural Bank of China. Under the landmark mandate, Citi will provide the Agricultural Bank of China with international payments processing for on-site check services that enable expansion of its banking services to consumer clients.
For Agricultural Bank of China, the partnership will support check payments for 16 different currencies from a single Citi account. Aside from improving operational efficiency, Citi's on-site check solution will provide Agricultural Bank of China with fraud prevention upgrades, 24-hour foreign exchange capabilities, and daily foreign exchange spot rates. All checks issued through Citi's solution will be customized with Agricultural Bank of China's corporate logo.
Agricultural Bank of China chose Citi because of its robust payments solution features and vast international network. Citi has served as Agricultural Bank of China's US Dollar Clearing provider for a number of years. By winning this important mandate from one of China's "big four" state-owned banks, Citi has extended its footprint in providing international payments services to Asia Pacific's leading and most visible financial services firms.
The partnership between Citi and Agricultural Bank of China has deepened as the bank expands its consumer banking business to meet the growing demands of customers travelling overseas.
Initially, Agricultural Bank of China plans to roll out the on-site check solution in 15 branches throughout China, followed by a nationwide launch in the near-term future.
Madame LI Qingping, Chief Retail Officer, Agricultural Bank of China, said: "With each passing year, the payments business of Agricultural Bank of China expands significantly to include more clients in more markets. As we see the needs of our clients become more international, we have proactively addressed these present and future demands by partnering with Citi."
Anthony Nappi, Managing Director, Regional Head of Global Transaction Services, Asia Pacific, Citi, said: "The global payments landscape is evolving quickly and progressive banks are taking necessary steps to exceed the demands of their clients first. In active collaboration with Citi Global Transaction Services, Agricultural Bank of China is cral Bank of China is clis clis clis clearly one of the leaders in Asia Pacific in providing their clients world-class payments options."
Akash Rathke, Managing Director, Regional Head of Bank Services and Public Sector Group, Asia Pacific, Citi said: "Agricultural Bank of China has demonstrated its commitment to the present and future needs of its consumer clients by partnering with Citi. We are proud to partner with such a progressive bank, which further solidifies Citi's unrivaled position in providing international payment processing to Asia Pacific's leading financial institutions."
Separately, South Korea's Kookmin Bank has selected Citi to enhance its international payments capabilities globally with Citi's International Payments Processing solution that supports a variety of exotic currencies.
Kookmin Bank will receive substantial payment enhancements by partnering with Citi. In particular, the partnership will enable significant efficiency improvements in terms of reconciliation and reporting, while also catering to the international requirements of its increasingly sophisticated client base. As a further benefit, Kookmin Bank will realize substantial cost benefits resulting from rationalizing expensive nostro accounts.
Initially, Citi will provide Kookmin Bank with international payments support in selected markets, covering a range of exotic currencies. Once implementation has been completed, Kookmin Bank plans to extend this service to additional currencies.
Citi's International Payments Processing helps banks and corporations to streamline the issuance of paper-based and electronic payments to parties around the world and automate the related foreign exchange. The non-account based solution enables cross-border payments in over 135 currencies via SWIFT or Citi's award-winning electronic banking platform, CitiDirect®. International Payments is also available in a white label package for banks to offer as a service to their corporate clients.
Akash Rathke, Managing Director, Regional Head of Bank Services and Public Sector Group, Asia Pacific, Citi said: "Kookmin Bank has long been one of Asia Pacific's most progressive financial institutions in terms of the services it provides its clients and in the bank's ability to 'think outside the box.' By partnering with Citi, Kookmin Bank has proven its commitment to servicing its increasingly international client base while controlling its costs and risks."