CAC Bank & Bank of China Signed a Banking Cooperation Agreement

1/14/2014 12:00:00 AM

Yemen and the People's Republic of China today signed a banking cooperation agreement in Beijing to develop banking services between the two countries and enhance prospects for joint cooperation between Yemeni and Chinese banking institutions.

The agreement signed at the headquarter of Bank of China by Mr. Salah Sadeq Basha – Chief Executive Officer of Cooperative & Agricultural Credit Bank (CAC Bank) representing Yemen, and Mr. Chu Frung – Executive Manager of Bank of China representing China, whereby the agreement will open new prospects for the development and expansion of cooperation as both banks will represent their countries in facilitating banking transactions between the two countries.

The agreement also included cooperation between the two parties in various fields plus banking services such as remittances, letter of credits, bank guarantees and services of international banking cards.

In a press release to Yemen News Agency (Saba) the CEO of CAC Bank declared the agreement will facilitate services to investor, commercial dealers, Yemeni traders and trade services between the two countries which consider being the first agreement to allow the use of local currencies for banking transactions between the two countries.

It is remarkable to mention that the Cooperative and Agricultural Credit Bank (CAC Bank) recently announced a profit of YER10 billion during the year 2013. Also, the total assets of the bank increased from YER 308.36 billion in 2012 to YER 465.41 billion in 2013, with increase of YER 157.51 billion, while customers’ deposits increased from YER 287.82 billion to YER 434.92 billion with increase of YER 146.47 billion.

Bank of China is a state owned bank, one of the leading commercial banks in China and one of the most important banks with external banking ties as well as it is one of the largest banks that have a big market share for corporate especially those that are dealing with Yemeni traders and having a noticed banking exposure for transactions between Yemen and China.