Mumbai, Nov 12: Standard Chartered Bank (SCB) has entered into a strategic tie-up with Central Bank of India for trade finance. The agreement covers all letter of credit issued by the public sector bank to Asian countries like Hong Kong, China, Singapore, Japan and South Korea, a press release issued by the two sides said here today.
As per the partnership, central bank of India would direct their letters of credits to 10 countries through SCB Hong Kong, which would then reissue them to the ultimate beneficiaries.
"This agency arrangement will increase the bank's fee revenue substantially from the existing business," Central Bank of India chairman and managing director Dalbir Singh was quoted as saying.
SCB chief executive officer India region Chris Low said the bank was a pioneer in the private labelling/agency agreement product in Hong Kong and was presently processing trade activities for a number of UK/European banks that do not have presence in eastern countries. Bureau Report