international settlement chapter

1、International settlements International settlements is a course of integrating theory with practice. It puts emphasis on the application of theory into actual business operations. International settlements is also a course of our country s banking business linking up with the world s banking busines

2、s , it lays stress on handling international business in English in accordance with international practice . International settlements For the sake of helping students to learn international settlements and to have a good grasp of basic theory , elementary knowledge and fundamental technical ability

3、 of this course , we hereby teach the course of international settlements in English .International settlements We designed “International Settlements Exercises” in English , which were edited on the basis of sequence of chapters and sections in the textbook .International settlementsInternational s

4、ettlements Since our professional level and English level are limited , its hard to avoid mistakes or shortcomings in this ppt .Thank you! I sincerely hope that you put forward any criticism and valuable suggestions .What will you learn in this course? three kinds of financial instruments bill of ex

5、change, promissory note, checkthree kinds of international methods remittance, collection, letter of credit documents under letter of credit commercial invoice, transport documents, insurance documents international customs and practice for international settlements URC522, UCP600 practice of all ki

6、nds of international settlements method application form, banks instructionHow to study this course?* I will give you a list of new words and expressions of each chapter before class;* You have to preview each chapter and section, and you have to review each chapter and section after you have learne

7、d it;* You should finish your homework in time.* I will give you the reference books and websites. . Brief Introduction to International Trade. Introduction to International Payments and Settlements. Credit Instruments. International Bank Remittance. Collection . Letter of Credit. L/C Practice. Docu

8、ments Under the Credit. International Factoring and Forteiting. Letter of Guarantee. Rules of International Payments and Settlements.International Payment Systems . Non-trade Payments and SettlementWhat is international tradeThe concept of International Trade International trade is the exchange of g

9、oods and services produced in one country for those produced in another country. The relationship between international trade and international settlementsInternational Trade1.Major participants :buyer sellerbanksquality clausequantity clausepackage clauseprice clausedelivery termsinsurance clausepa

10、yment clauseCommodity inspection clause3. Trade terms:Incoterms 2000, 13 terms2.Sale contract:Sale contractSeller: address, telex/fax; Buyer:address, telex/faxGoodsQuality clause:the goods description, quality,specificationsQuantity clause:weight, numbers, length, dimension, volume, capacityPacking

11、clause:mode of packing, and its materialPrice clause:unit price, pricing currency , price terms usedDeliver terms:time of delivery, port of loading and destination, transshipment, partial shipment ,mode of transportationInsurance clause:risks to be covered, the percentage of insurancePayment clause:

12、payment method and its contentCommodity inspection clause:how the right of inspection is determined,k the time, place and organization of inspectionEXWEX WORKS(named place)FCAFREE CARRIER( named place)FASFREE ALONGSIDE SHIP ( named port of shipment)FOBFREE ON BOARD ( named port of shipment)CFRCOST A

13、ND FREIGHT ( named port of destination)CIFCOST, INSURANCE AND FREIGHT ( named port of shipment)CPTCARRIAGE PAID TO ( named port of shipment)CIPCARRIAGE AND INSURANCE PAID TO ( named port of shipment)DAFDELIVERED AT FRONTIER ( named place)DESDELIVERED EX SHIP ( named port of shipment)DEQDELIVERED EX

14、QUAY ( named port of shipment)DDUDELIVERED DUTY UNPAID ( named port of shipment)DDPDELIVERED DUTY PAID ( named port of shipment)Question 1When the importer and exporter select one of the international settlements method(terms of payment) in the contract, how many key factors determining the payment

15、method should be considered?settlement on commercial creditsettlement on bank creditpayment in advanceopen accountremittancecollectionletter of creditbank guaranteeQuestion 2If you are the buyer/seller, which settlements method will be your favorite?In this chapter, you will learnThe concept and evo

16、lution of international settlements Correspondent banking relationship Inter-bank accountsRelative contents involved in the latter two chapters Chapter Twelve:international payment systems Chapter Fourteen Cyber-payments International settlements are financial activities conducted through banks amon

17、g different countries, in which payments are effected or funds are transferred from one country to another in order to settle accounts, debts, claims, etcDefinition of international settlementsfinancial financial intermediaryintermediaryconvertible currencyconvertible currencyImporter/ Importer/ Buy

18、er Buyer ExporterExporters sbankbankFundsFundsGoods/commoditiesGoods/commoditiesExporter/ Exporter/ Seller Seller ImporterImporters sbankbankBasic procedure of international settlementsShipping Co.FundsFundsGoodsGoodsMost international settlements originate from transaction in the world trade. How m

19、any international transactions can you list?visible trade有形貿(mào)易有形貿(mào)易 invisible trade無形貿(mào)易無形貿(mào)易 financial transaction金融交易金融交易overseas remittances 海外匯款海外匯款 educational expenses教育開支教育開支 inheritances遺產(chǎn)繼承遺產(chǎn)繼承 technology transfer技術(shù)轉(zhuǎn)讓技術(shù)轉(zhuǎn)讓 patent 專利專利 copyright contract版權(quán)合同版權(quán)合同 foreign exchange market transactio

20、ns金融市場交易金融市場交易 export credits出口信貸出口信貸 syndicated loans辛迪加貸款辛迪加貸款 international bond 國際債券國際債券160,818,311；134,189.095; -9,391,392;62.963,916; 4,101,792; 58,862,124 -207,016Please fill in the balance of payment, 2005, China, with the following data. (in thousands of USD) .Current Account1. Goods & Serv

21、icea. Goodsb. Serviced2. Income3. Current Transfer/Unilateral Current Transfer.Capital and Financial Account1. Capital Account2.Financial Account(1) Direct Investment(2) Indirect Investment(3) Portfolio Investment(4) Other Investment.International Reserve .Net Error & OmissionAbsolutelyconvertible c

22、urrencyLimitedConvertiblecurrencyUnconvertible currency?(1) Convertible currency of the exporters country (2) Convertible currency of the importers country (3) Convertible currency of a third country Convertible CurrencyCurrency 1. currency of the exporters country :_ 2. currency of the importers co

23、untry :_ 3. currency of a third country :GBP Which bank is the depository bank? Principle for International settlementsEach currency is cleared within the boundary of the issuing country. A Co.(exporter)USAB Co.(importer)JapanChemical BankUSASumitomo BankJapanWhich are the characteristics of the mod

24、ern international settlements?1.The merchants carry/ship the cash from one country to another in order to settle the debts. 2.The bank participates in international settlements as financial intermediary. 3. Bills of exchange created and took the place of coins in order to reduce the cost and risky a

25、ccrued in carrying coins from one country to another. 4.The establishment of foreign exchange markets does play a very important role in creating and developing non-cash settlements, for foreign exchange banks are allowed to buy and sell foreign exchange freely in these markets so as to meet the nee

26、ds of international banking business.1.2 Evolution of International settlements1.2.1 From cash settlement to non-cash settlementBefore 6 century B.C.5 century B.C.Barter TransactionsPrecious metalsCash SettlementCoinsBarter transaction6 century B.C.5 century B.C.coinsbarsbullionsPrecious metals 13 c

27、entury A.D.1.2 Evolution of International settlements 國際結(jié)算的演變國際結(jié)算的演變1.2.1 From cash settlement to non-cash settlement13 century A.D.InstrumentsBill of exchangePromissory NoteCheque/checkNon-Cash Settlement非現(xiàn)金結(jié)算非現(xiàn)金結(jié)算Exchange for GBP1,250.00 Beijing,1 April,2003At sight pay to the order of DEF Co.the

28、sum of Pounds one thousand two hundred and fifty onlyTo XYZ Bank, For ABC Co., Beijing London (signature) End of 18 centuryExpensiveRiskyTurnover of funds slowForeign exchange bankBill of exchangeForeign exchange bank13 century A.D.end of 18 century A.D.Foreign exchange marketThe bill of exchange ta

29、ke the place of coins, international payments can be settled by way of transferring funds through the accounts opened in the foreign exchange bank.Non-cash settlement1.2 Evolution of International settlements1.2.2 From direct payment made between international traders to payment effected through a f

30、inancial intermediaryBank is financial intermediaryWorldwide communication meshwork/network. Wide relationships among banks.With the worldwide banking network and modern banking technicality, banks can not only provide easy and quick transfer of funds needed for conducting international trade but al

31、so furnish their customers with valuable economic and credit information. P P R R環(huán)球銀行間金融環(huán)球銀行間金融電訊協(xié)會電訊協(xié)會紐約清算所交換銀紐約清算所交換銀行相互收付系統(tǒng)行相互收付系統(tǒng)倫敦交換銀行倫敦交換銀行自動收付系統(tǒng)自動收付系統(tǒng)聯(lián)邦儲備聯(lián)邦儲備清算系統(tǒng)清算系統(tǒng) communication meshwork/networkChapter Twelve SWIFT:The Society For Worldwide Inter-bank Financial Telecommunications 1973 1973

32、年年5 5月成立月成立, ,總部設(shè)在布魯塞爾。目前，全總部設(shè)在布魯塞爾。目前，全世界已有超過世界已有超過200200個國家的個國家的70007000多個銀行在使用多個銀行在使用SWIFT SWIFT 。計算機數(shù)據(jù)通訊網(wǎng)在荷蘭和美國設(shè)有運。計算機數(shù)據(jù)通訊網(wǎng)在荷蘭和美國設(shè)有運行中心，在各會員國設(shè)有地區(qū)處理站。行中心，在各會員國設(shè)有地區(qū)處理站。 20022002年，年，SWIFTSWIFT報文承載量達報文承載量達8 8億，日均億，日均7 7百萬條百萬條，金額超過，金額超過6 6萬億歐元。萬億歐元。 中國是中國是SWIFTSWIFT會員國。中國銀行作為中國的外匯會員國。中國銀行作為中國的外匯外貿(mào)專業(yè)銀

33、行于外貿(mào)專業(yè)銀行于19831983年年2 2月加入月加入SWIFTSWIFT，成為中國，成為中國第一家會員銀行，第一家會員銀行，19851985年年5 5月月1313日，中國銀行正式日，中國銀行正式開通開通SWIFTSWIFT。 20 20世紀(jì)世紀(jì)9090年代開始，中國所有可以辦理國際金融年代開始，中國所有可以辦理國際金融業(yè)務(wù)的國有商業(yè)銀行、外資和僑資銀行以及地方業(yè)務(wù)的國有商業(yè)銀行、外資和僑資銀行以及地方銀行紛紛加入銀行紛紛加入SWIFTSWIFT。 19961996年中國年中國SWIFTSWIFT發(fā)報增長率為發(fā)報增長率為42.2%42.2%，在，在SWIFTSWIFT全球增長率排名第一，中國

34、銀行在全球增長率排名第一，中國銀行在SWIFTSWIFT前前4040家大家大用戶中排名用戶中排名3434位。位。 中國銀行每日中國銀行每日SWIFTSWIFT發(fā)報量達發(fā)報量達3 3萬多筆，采用萬多筆，采用SWIFTSWIFT方式進行收發(fā)電報已占到全行電訊總收付量方式進行收發(fā)電報已占到全行電訊總收付量的的90%90%。SWIFTSWIFT網(wǎng)絡(luò)是國際結(jié)算、收付清算、外匯資金買賣、網(wǎng)絡(luò)是國際結(jié)算、收付清算、外匯資金買賣、國際匯兌等各種業(yè)務(wù)系統(tǒng)的通訊主渠道，部分業(yè)國際匯兌等各種業(yè)務(wù)系統(tǒng)的通訊主渠道，部分業(yè)務(wù)實現(xiàn)了自動化處理。務(wù)實現(xiàn)了自動化處理。chaining(SWIFT study):chainin

35、g(SWIFT study):http:/ 1.SWIFT needs member qualification. 2.SWIFTs charge is low. Its about 18% of that used by telex, and 25% of that used by cable.3.SWIFT is safer. (SWIFT authenticate key)4.SWIFT has standard uniform format.Bank Identified code 識別識別碼碼Bank of ChinaBKCH CN BJThe Industrial and Comm

36、ercial Bank of ChinaICBK CN BJThe Agricultural Bank of ChinaABOC CN BJThe Investment Bank of ChinaIBOC ON BJThe Communication Bank of ChinaCOMM CN BJChina Construction BankPCBC CN BJThe Peoples Bank of ChinaPBOC CN BJChina Citic BankCIBK CN BJAmerica Bank , Shanghai BranchBOFX CN SX加入加入SWIFTSWIFT的中國

37、境內(nèi)銀行的中國境內(nèi)銀行 1970 1970年年4 4月成立月成立, ,國際美元支付系統(tǒng)。它是一個國際美元支付系統(tǒng)。它是一個著名的私營跨國大額美元支付系統(tǒng)，是跨國美元著名的私營跨國大額美元支付系統(tǒng)，是跨國美元交易的主要結(jié)算渠道。交易的主要結(jié)算渠道。 通過通過CHIPSCHIPS處理的美元交易額約占全球美元總交處理的美元交易額約占全球美元總交易額的易額的95%95%。 CHIPSCHIPS成員有紐約清算所協(xié)會會員、紐約市商業(yè)成員有紐約清算所協(xié)會會員、紐約市商業(yè)銀行、外國銀行在紐約的分支機構(gòu)等。銀行、外國銀行在紐約的分支機構(gòu)等。 CHIPSCHIPS是一個凈額支付清算系統(tǒng)，它租用了高速是一個凈額支付

38、清算系統(tǒng)，它租用了高速傳輸線路，有一個主處理中心和一個備份處理中傳輸線路，有一個主處理中心和一個備份處理中心。每日營業(yè)終止后，進行收付差額清算，每日心。每日營業(yè)終止后，進行收付差額清算，每日下午六時（紐約時間）完成資金轉(zhuǎn)賬。下午六時（紐約時間）完成資金轉(zhuǎn)賬。CHIPS:Clearing House Interbank Payments System.（跨國美元支付系統(tǒng)）（跨國美元支付系統(tǒng)） 它歸美聯(lián)儲所有，它歸美聯(lián)儲所有，19131913年建立，年建立，F(xiàn)EDWIREFEDWIRE將全將全美劃分為美劃分為1212個聯(lián)邦儲備區(qū)、個聯(lián)邦儲備區(qū)、2525個分行和個分行和1111個專門個專門的支付處理

39、中心，主要用于金融機構(gòu)之間的隔夜的支付處理中心，主要用于金融機構(gòu)之間的隔夜拆借、行間清算、公司之間的大額交易結(jié)算，美拆借、行間清算、公司之間的大額交易結(jié)算，美國政府與國際組織的記賬債券轉(zhuǎn)移業(yè)務(wù)等等。國政府與國際組織的記賬債券轉(zhuǎn)移業(yè)務(wù)等等。 由于該系統(tǒng)有專用的實現(xiàn)資金轉(zhuǎn)移的電碼通訊由于該系統(tǒng)有專用的實現(xiàn)資金轉(zhuǎn)移的電碼通訊網(wǎng)絡(luò)，權(quán)威性、安全性較高。此外它還承擔(dān)著美網(wǎng)絡(luò)，權(quán)威性、安全性較高。此外它還承擔(dān)著美聯(lián)儲貨幣政策操作及政府債券買賣的重要任務(wù)。聯(lián)儲貨幣政策操作及政府債券買賣的重要任務(wù)。 它每日運行它每日運行1818個小時，每筆大額的資金轉(zhuǎn)賬從個小時，每筆大額的資金轉(zhuǎn)賬從發(fā)起、處理到完成，運行全部

40、自動化。發(fā)起、處理到完成，運行全部自動化。FEDWIRE（全美境內(nèi)美元支付系統(tǒng)）全美境內(nèi)美元支付系統(tǒng)）CHAPS: Clearing House AutomatedPayment System 英國大額英鎊清算系統(tǒng)。在英國大額英鎊清算系統(tǒng)。在CHAPSCHAPS下，下，1212家交換家交換銀行成為結(jié)算銀行，由八條信息通道把它們和該銀行成為結(jié)算銀行，由八條信息通道把它們和該系統(tǒng)的一個信息轉(zhuǎn)換中心連接起來。系統(tǒng)的一個信息轉(zhuǎn)換中心連接起來。 CHAPS用于英鎊資金交換的當(dāng)日用于英鎊資金交換的當(dāng)日 結(jié)算結(jié)算,主要由英主要由英國大型清算銀行和英格蘭銀行使用。國大型清算銀行和英格蘭銀行使用。 The Wo

41、rldwide Network of Banks1、 Representative Office(代表處代表處)2、 Agency Office(代理處代理處)3、 Overseas Sister Bank/Branch, Sub branch(海外分、支行海外分、支行(境外聯(lián)行境外聯(lián)行)4、 Correspondent Banks(代理銀行代理銀行)5、 Subsidiary Banks(附屬銀行附屬銀行(子銀行子銀行) 6、 Affiliated Banks(聯(lián)營銀行聯(lián)營銀行) 7、 Consortium Bank(銀團銀行銀團銀行) Homework: Give the definiti

42、on of the above seven worldwide network of banks. Bank of China Overseas branch海外海外27個國家設(shè)有個國家設(shè)有600個據(jù)點，在香港及澳門地區(qū)亦占領(lǐng)導(dǎo)個據(jù)點，在香港及澳門地區(qū)亦占領(lǐng)導(dǎo)地位。地位。 1.3 Characteristics of Modern International settlements(1) Transfer of foreign exchange funds and convey of message are very much facilitated.(2) Vehicle currencie

43、s（周轉(zhuǎn)貨幣周轉(zhuǎn)貨幣） are more diversified than before.(3) Great importance is attached to high efficiency on the party of the foreign exchange banks.(4) International lending is often combined with international payment.International banking networkElectronic telecommunicationsExport Bill Purchase(出口押匯出口押匯)P

44、acking Loan(打包貸款打包貸款)Discounting (出口貼現(xiàn)出口貼現(xiàn))Forfaiting(福費廷福費廷)Import Bill Advance(進口押匯進口押匯)Shipping Guarantee(提貨擔(dān)保提貨擔(dān)保)chaining(international settlements financing):http:/ lending is often combined with international payment.1.4 Major Points Concerning International settlements(1) International settl

45、ements methods(2) The financial instrument that facilitate International settlements(3) Documents used in International settlements(4) The currencies used in international settlements.(5) Rules and regulations on international settlements.URC522:Uniform Rules for Collection UCP600:Uniform Customs an

46、d Practice for documentary creditmake sure they are differentDomestic SettlementDomestic Settlement International settlementsInternational settlementssettlementsettlementInternational Trade SettlementInternational Trade SettlementInternational Non-Trade SettlementInternational Non-Trade SettlementIn

47、strumentsInstrumentsMethodsMethodsDocumentsDocumentsRulesRulesExchangeExchangeMain methodsMain methodsOther methodsOther methodsbasicbasicAdditionalAdditionalPromissory Promissory notenoteCheckCheckRemittanceRemittanceLetter ofLetter of credit creditCollectionCollectionFactoringFactoringLetter of Le

48、tter of guaranteeguaranteeForfeiting Forfeiting Standby letter Standby letter of creditof creditInvoiceInvoiceBill of Bill of LadingLadingInsurance Insurance documentsdocumentsPackingPacking list listWeightWeight memo memoCertificate ofCertificate of Original Original All kinds ofAll kinds of Certif

49、icates CertificatesURGURGUCPUCPURCURC1.5 Correspondent Banking Relationship1.5.1 Definition of correspondent bank代理行代理行A bank having direct connection or friendly service relations with another bank.The bank may open deposit accounts with, and entrust business to each other on a reciprocal basis.互惠的

50、互惠的,相應(yīng)的相應(yīng)的When selecting a bank as a correspondent bank, what factors should be taken into account?The reputation of the bank; Size of the bank; Location of the bank; Services offered by the bank; Fundamental policies and strength of the bank; Physical features and personnel;Agency arrangementContro

51、l documentsEstablish a correspondent relationship between two banks.1.5 Correspondent Banking Relationship1.5.2 Control DocumentsLists of specimen of authorized signatures印鑒印鑒Verify the messages, letters(airmailed) are authentic Telegraphic test keys密押密押Verify the telex and cable are authentic Terms

52、 and conditions費率表費率表 SWIFT authentic key驗證碼驗證碼服務(wù)項目服務(wù)項目收費標(biāo)準(zhǔn)收費標(biāo)準(zhǔn)匯出境外匯款匯出境外匯款 電匯電匯匯款金額的匯款金額的 11，最低，最低5050元元/ /筆，最高筆，最高10001000元元/ /筆，另加收電訊費筆，另加收電訊費票匯、信匯票匯、信匯匯款金額的匯款金額的 11，最低，最低100100元元/ /筆，最高筆，最高12001200元元/ /筆，另加收郵費（如有）筆，另加收郵費（如有）外幣光票托收外幣光票托收 光票托收光票托收托收金額的托收金額的 11，最低，最低5050元元/ /筆，最高筆，最高10001000元元/ /筆，

53、另加收郵費筆，另加收郵費 買入外幣票據(jù)買入外幣票據(jù) 買入票據(jù)買入票據(jù)票據(jù)金額的票據(jù)金額的 7.57.5，最低，最低5050元元/ /筆筆現(xiàn)鈔托收現(xiàn)鈔托收100100元元/ /筆，另加收郵費筆，另加收郵費進口托收進口托收進口代收金額的進口代收金額的 11，最低，最低100100元元/ /筆，最高筆，最高20002000元元/ /筆筆 跟單托收跟單托收代收金額的代收金額的 11，最低，最低100100元元/ /筆，最高筆，最高20002000元元/ /筆，另加收郵費筆，另加收郵費Bank of China1.5 Correspondent Banking Relationship1.5.3 Int

54、er-bank account（1）Nostro 往賬往賬 “Our account”, the _account of a major bank with the_ to facilitated international payments and settlements 我行在它行開立的存款賬戶。我行在它行開立的存款賬戶。foreign currencyforeign banks abroadcorrespondent（2）Vostro account 來賬來賬 “Your account”, an account held by a bank on behalf of a _ bank.

55、 它行在我行開立的存款賬戶。它行在我行開立的存款賬戶。A BankB BankCurrent a/c XXXB Banks currencyA/C XXX is A Banks _a/c, is B Banks _a/c.A BankB BankCurrent a/c XXXA Banks currencyA/C XXX is A Banks _a/c, is B Banks _a/c.DepositorDepositoryBankCurrent a/c XXXDepositorBankCurrent a/c XXXDepositoryBank賬戶行賬戶行開戶開戶行行存款客戶存款客戶賬戶賬戶行

56、行Midland bank(England) Bank of New York bank(U.S.A) 1.A Co.(exporter,England), B Co.(importer,USA), currency:USD2.A Co.(exporter,England), B Co.(importer,USA), currency:GBP3.C Co.(importer,England), D Co.(exporter,USA), currency:USD4.C Co.(importer,England), D Co.(exporter,USA), currency:GBPMake ChoiceMidland Bank a. We have credited your account with