In addition, SVB also launched offshore Renminbi multi-currency account, enabling its multi-national clientele to consolidate funds and settle international trade for goods and services in Renminbi while conducting the business inside and outside mainland China.
SVB’s multi-currency accounts are foreign currency deposit accounts held at the bank that are FDIC insured and subject to US regulatory requirements.
SVB’s new offshore Renminbi capabilities complement SVB’s full suite of global treasury services, through which clients can transact in 140 countries and more than 50 currencies.
The commercial bank said that through a large variety of foreign exchange services and deposit accounts, it helps clients protect the value of their foreign currency revenues, control the cost of their foreign currency payments, minimize the translational impact on their balance sheets and mitigate the risk on its earnings due to conversion of foreign currency cash flow.
Silicon Valley Bank head of global transaction banking Sanjay Mody said that technology companies are often global at an early stage and require the ability to move money across borders seamlessly and to minimize foreign exchange risk.
"Our new offshore Renminbi services will give our clients doing business in China a competitive advantage when it comes to setting prices and settling transactions in local currency," Mody said.
