XTransfer expands to Hong Kong, eases payments to mainland China
By Leandra Monteiro
XTransfer, a FinTech company in B2B foreign trade financial services, has officially announced its plan to launch financial services targeting local SMEs in Hong Kong in Q2 this year.
According to Census and Statistics Department of The Government of the Hong Kong SAR, mainland China is the largest supplier of goods to Hong Kong. In 2022, the volume of trade imports from mainland China accounted for 42% of the total import trade in Hong Kong. However, there is still significant room for improvement when it comes to cross-border financial services with the mainland, particularly for SMEs.
XTransfer plans to launch localised services including cross-border payments and other related financial services for trade in Hong Kong in Q2 this year. When Hong Kong buyers pay mainland suppliers through XTransfer, it will be as easy as doing “local HK payments”. Moreover, XTransfer supports 24/7 instant payment to other XTransfer accounts and is expected to reduce remittance fees by 95% and exchange cost by 20%, significantly improving the efficiency of operating funds. XTransfer will also provide “sunshine settlement” and compliance reporting services for enterprises in both Hong Kong and mainland China, allowing for direct remittance of RMB to the seller’s bank account in mainland China after reporting exchange settlement to the bank on behalf of the enterprise.
With the resumption of normal travel between mainland China and Hong Kong this year, trade between the two places has become increasingly close. In the post-epidemic era, XTransfer’s arrival in Hong Kong precisely coincides with a growing demand for facilitated cross-border financial services from trade enterprises in both Hong Kong and mainland China. This move aims to provide Hong Kong enterprises with more accurate and tailored services that respond to their needs and provide a safer way to make payments to mainland China.
IBSi Daily News Analysis
June 08, 2023
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