Singapore is benefiting from China's generous capital outflows, with the Industrial and Commercial Bank of China, Singapore (ICBC) signing several deals to provide financing for Singapore companies.
Among seven deals signed yesterday was a memorandum of understanding (MOU) signed with trade agency IE Singapore, which brings its partnerships with Chinese banks to more than $90 billion worth of financing for One Belt, One Road (Obor) infrastructure projects.
The latest partnership follows a flurry of deals with Chinese banks. Last month, IE Singapore signed an MOU with China Construction Bank to provide $30 billion worth of financing services to firms invested in Obor infrastructure projects. It also signed a deal with the Bank of China last November.
This partnership will see ICBC setting up a team in Singapore to provide financing and related professional services for infrastructure projects.
ICBC will partner IE Singapore's internship programme to offer internships in infrastructure.
Infrastructure firms were not the only ones to gain. Yesterday, ICBC launched the Asia-Pacific shipping financial centre, which will provide financing for the shipping industry here.
Singapore Business Federation's chairman and managing director of home-grown shipping giant Pacific International Lines, Mr S. S. Teo, said that the firm had good experience working with ICBC.
"Shipping has been in the doldrums, but eventually it has to recover," he said. "Being here will help ICBC to understand South-east Asia better... It will give them a better understanding of our operations and enable more financing in the future."
Lee Xin En