BOC President Lihui: The average of five major overseas businesses accounted for only 6%

"Twelve-Five" plan proposed: Accelerate the implementation of the "go out" strategy, gradually develop China's large multinational corporations and transnational financial institutions, improve the level of international management.　　Around "go out" and the rise of the Chinese banking industry, talk about some views.　　First, the economic globalization requires the Chinese banking industry to "go out". After 30 years of reform and opening-up, China's economic openness and the level of globalization continue to improve, by 2009, China's exports amounted to 1.2 trillion U.S. dollars, the first time over Germany leaped the forefront of the world.　　China's foreign exchange reserves remain the world's first, reaching $2.6 trillion by the end of September, and China's economic globalization requires the banking industry to be globalized. First, the real economy requires banks to "go out" and provide supporting financial services. 2007-2009, China's domestic enterprises non-financial foreign direct investment expansion from 101.2 billion U.S. dollars to 199.8 billion U.S. dollars, three years increased by 97%, financial OFDI from 11.3 billion U.S. dollars to 36.6 billion U.S. dollars, increased by 224%, customers "go out" for the banking sector is the market demand　　and business opportunities. Second, the internationalization of the renminbi requires banks to go out. The internationalization of RMB is an inevitable trend. Whether it is the renminbi settlement of cross-border trade that is being pushed forward, or the expanding cross-border investment of RMB and cross-border financing, banks should play the main channel role.　　By the end of September this year, China's cross-border trade in renminbi settlement business volume reached 197.1 billion yuan, the future development of the renminbi overseas market, China's banking industry needs to establish an international operating system. Third, the development and expansion of commercial banks need to "go out". Compared with foreign trade, the degree of internationalization of China's banking industry is obviously low, the income of overseas business is not high. China's five major banks have an average of about 6% of their overseas business income, of which the Bank of China accounts for 22%, but it is a huge gap compared with the foreign peers, and the European and American interbank business income accounted for more than 35%.　　It should be said that globalization is a big environment, the expansion of openness is a big policy, exchange rate and interest rate marketization is a major trend, so China's banking industry can only actively "go out".　　The second issue I would like to discuss is that the creation of conditions for Chinese banking can "go out". After several years of reform, China's banking industry has a certain condition of "going out": one is the global asset allocation, 1985 China's banking overseas assets of only more than 9 billion U.S. dollars, to 2009 has more than 270 billion U.S. dollars; second, the network of overseas institutions. By the end of 2009, several of our banks in Hong Kong, Macau and 32 countries and regions of the operating institutions more than 1000, of which about 800 of the Bank of China, overseas assets reached 1.76 trillion yuan, the third is to enhance the international reputation; four, China's financial regulatory environment, the quality of supervision in recent years has been significantly improved,　　has been fully recognized by the international banking industry. But we also need to be soberly aware of the shortcomings of our banking industry. At present, the overseas business of Chinese commercial banks still has great limitation, the overseas layout is mainly concentratedIn places like Hong Kong, Macau and Singapore, where some cultural backgrounds are closer to the mainland, only a handful of institutions are scattered in the international financial centres such as New York, London and so on. In addition, the current business scope of our overseas institutions, operating scale is still relatively small, in the local market influence is very small.　　Its deep-seated reasons are mainly two points, one is not enough professionals, and the second is the risk management capacity is not high enough. The third issue discussed is the orderly, forceful and effective "going out" of Chinese banking.　　"Order" is strategic deployment and strategic layout, "force" is strength and ability, "effect" is efficiency and efficiency.　　First, clear business positioning is the prerequisite; Secondly, the advanced management mode is the foundation; third, the international financial talent is the condition; Finally, to improve risk management is the key. At present, special attention should be paid to expand overseas renminbi business, to improve the professionalism of overseas products, large-scale level. We should not only "go out" of China's enterprises and residents for our main target customers, but also strengthen the multinational enterprises, host enterprises and local residents of the marketing and service capabilities, and vigorously expand the high-end customers, and gradually enter the local mainstream society.