Since the new policies from the 2026 Lujiazui Forum took effect, landmark firsts in free trade offshore bonds have landed consecutively, offshore RMB FX trading continues to lead the market, and offshore trade has evolved from instant settlement to full-chain integration. Bank of China has leveraged its role as a primary channel for cross-border finance and its expertise in forex and foreign trade, consistently broadening pilot applications and accelerating the development of a business ecosystem. Through a series of benchmark practices, the bank is injecting substantial financial momentum into Shanghai's offshore finance sector.

As a key focus of high-level financial opening-up, free trade offshore bonds represent a significant achievement in offshore finance pilot initiatives. Bank of China has been deeply involved in building the free trade offshore bond market, actively leveraging its global strengths to drive financial innovation. From domestic to international markets, the geographic scope of issuance continues to expand. Since the resumption of free trade offshore bonds, the bank pioneered the world's first RMB 500 million free trade offshore bond and successfully issued Europe's first free trade offshore bond, opening new diversified RMB financing channels for overseas entities. From one-off to rolling issuance, the model has achieved innovative breakthroughs. The bank formally launched the market's first rolling issuance program for free trade offshore bonds, achieving a breakthrough in regular, rolling issuance. To date, two tranches totaling RMB 1.3 billion have been completed under this program, providing efficient and stable funding supply to the market. From financial to real economy, the issuer base continues to expand. As global coordinator, the bank successfully assisted in the market's first free trade offshore bond issued by a non-financial enterprise and achieved a milestone with the first listing of such bonds on the Hong Kong Stock Exchange, channeling financial resources precisely into the real economy. Furthermore, leveraging its status as a Free Trade Accounting Unit (FTU), Bank of China participated in the market's first free trade offshore bond investment following the new policy announcement, building a comprehensive service chain covering issuance, underwriting, custody, investment, and market-making. To date, the bank has underwritten 10 free trade offshore bonds as global coordinator and lead manager, with total underwriting volume exceeding RMB 4 billion, maintaining a leading market share.

While broadening new avenues for investment and financing, Bank of China has leveraged its qualifications as one of the first pilot banks for offshore RMB FX trading to continuously enrich exchange rate hedging tools, ensuring offshore funds remain liquid and stable through comprehensive market-making and pricing capabilities. The bank has built a global network, utilizing its FX matrix across major financial centers worldwide to provide round-the-clock quoting and trading capabilities while actively expanding the participation of domestic and international entities. Bank of China's Macau branch successfully executed Macau's first offshore RMB FX transaction, innovatively integrating domestic infrastructure, offshore trading entities, and offshore RMB liquidity mechanisms to achieve full-chain connectivity of fund flows, information flows, and clearing pathways. The bank provides comprehensive market-making services across all products, including spot, forwards, swaps, cross-currency swaps, and FX options, with trading volumes in FX settlement and cross-border RMB clearing consistently ranking among the market's leaders. It also supports direct conversion across multiple currencies, covering major developed market currencies such as USD, EUR, and JPY, as well as Belt and Road currencies including SGD and NZD, fully meeting global clients' conversion and asset allocation needs. Additionally, responding to financing entities' risk management requirements, the bank executed the first cross-border hedging transaction between USD and offshore RMB under a panda bond via the China Foreign Exchange Trade System's offshore RMB FX trading platform, achieving a complete closed loop of offshore RMB market-making, trading, quoting, and hedging.

The deepening of offshore finance pilots relies on solid support from trade and investment facilitation. Bank of China has focused on pain points in offshore trade, such as difficulties in document verification and low processing efficiency, using digital settlement to help real-economy enterprises reduce costs and improve efficiency. The bank has accelerated offshore trade settlement. Following the official launch of the Lingang offshore trade pilot program, Bank of China, as one of the first pilot banks, took the lead in executing facilitated settlement services for specialized offshore trade companies in the new area. Transactions can now be processed for both local and foreign currency offshore trade receipts and payments based solely on corporate instructions, dramatically compressing processing times from days to seconds. The bank has also integrated digital platform services, combining its online banking, direct corporate connectivity, express remittance, and cross-border instant crediting product suite to offer 24/7 cross-border direct crediting services. By deeply connecting with platforms such as Lihangtong and Kuajingtong, the bank has introduced paperless cross-border RMB settlement for goods trade, truly enabling data to move instead of businesses.

Bank of China will continue to leverage its global advantages and integrated characteristics, constantly enriching its offshore finance product offerings. The bank aims to help Shanghai build an offshore finance system that matches its status as an international financial center, contributing greater strength to promoting the international use of the RMB and high-level financial opening-up.