The Export–Import Bank of China (Chexim - China Exim Bank) () is one of two
institutional banks in
China
China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's most populous country, with a population exceeding 1.4 billion, slightly ahead of India. China spans the equivalent of five time zones and ...
chartered to implement the state policies in
industry
Industry may refer to:
Economics
* Industry (economics), a generally categorized branch of economic activity
* Industry (manufacturing), a specific branch of economic activity, typically in factories with machinery
* The wider industrial sector ...
,
foreign trade
International trade is the exchange of capital, goods, and services across international borders or territories because there is a need or want of goods or services. (see: World economy)
In most countries, such trade represents a significant s ...
,
economy
An economy is an area of the production, distribution and trade, as well as consumption of goods and services. In general, it is defined as a social domain that emphasize the practices, discourses, and material expressions associated with the ...
, and
foreign aid
In international relations, aid (also known as international aid, overseas aid, foreign aid, economic aid or foreign assistance) is – from the perspective of governments – a voluntary transfer of resources from one country to another.
Ai ...
to other developing countries, and provide policy financial support so as to promote the export of Chinese products and services. Established in 1994, the bank is subordinated to the
State Council State Council may refer to:
Government
* State Council of the Republic of Korea, the national cabinet of South Korea, headed by the President
* State Council of the People's Republic of China, the national cabinet and chief administrative auth ...
. In 2022, the bank signed an agreement with Hong Kong realtor group
ESR Group
ESR Group Limited (ESR) is an Asia focused Real Estate services and investment company. It focuses on building and managing logistics properties such as warehouses and distribution centers. It is incorporated in the Cayman Islands but headquarte ...
and to invest in Asean infrastructure projects.
Mission
The bank is a policy bank and along with other Chinese policy institutions like
China Development Bank
The China Development Bank (CDB) () is a development bank in the People's Republic of China (PRC), led by a cabinet minister at the Governor level, under the direct jurisdiction of the State Council. As one of three policy banks in China, it ...
and
Sinosure
China Export & Credit Insurance Corporation ( zh, s=中国出口信用保险公司, t=中國出口信用保險公司, p=Zhōngguó Chūkǒu Xìnyòng Bǎoxiǎn Gōngsī , commonly known as Sinosure (中国信保, Zhōngguó Xìnbǎo)) is a major C ...
implement the
economic policies
The economy of governments covers the systems for setting levels of taxation, government budgets, the money supply and interest rates as well as the labour market, national ownership, and many other areas of government interventions into the e ...
of the government. The focus of the bank is to promote
foreign trade
International trade is the exchange of capital, goods, and services across international borders or territories because there is a need or want of goods or services. (see: World economy)
In most countries, such trade represents a significant s ...
and investment. Commercial lending forms the backbone of the bank. Commercial activity includes
export credits mainly in the
infrastructure
Infrastructure is the set of facilities and systems that serve a country, city, or other area, and encompasses the services and facilities necessary for its economy, households and firms to function. Infrastructure is composed of public and priv ...
fields (roads, power plants, oil and gas pipelines,
telecom, and water projects) and investment loans for Chinese businesses to establish overseas in the energy, mining and industrial sectors.
Another function is to administer
concessional loans which are no interest or very low interest loans provided as foreign aid by the Chinese government. Exim is the sole provider of Chinese government
concessional loans.
Exim does not publish figures for overseas loans. However, U.S. officials estimate that it finances more than the total export financing of the
Group of Seven
The Group of Seven (G7) is an intergovernmental political forum consisting of Canada, France, Germany, Italy, Japan, the United Kingdom and the United States; additionally, the European Union (EU) is a "non-enumerated member". It is official ...
industrialized nations combined.
''The
Financial Times
The ''Financial Times'' (''FT'') is a British daily newspaper printed in broadsheet and published digitally that focuses on business and economic current affairs. Based in London, England, the paper is owned by a Japanese holding company, Nik ...
'' estimates that in 2009 and 2010, China Eximbank and
China Development Bank
The China Development Bank (CDB) () is a development bank in the People's Republic of China (PRC), led by a cabinet minister at the Governor level, under the direct jurisdiction of the State Council. As one of three policy banks in China, it ...
(CDB) together signed loans of at least $110 billion to other developing country governments and companies, more than the
World Bank
The World Bank is an international financial institution that provides loans and grants to the governments of low- and middle-income countries for the purpose of pursuing capital projects. The World Bank is the collective name for the Interna ...
over a similar period.
Rival export financing institutions that have seen a decline in influence, such as the
U.S. Export–Import Bank through Chairman
Fred Hochberg
Fred Philip Hochberg (born February 3, 1952) is an American businessman and civic leader. After nearly two decades as an executive, including five years as President at the Lillian Vernon Corporation, he then served in various leadership roles a ...
, have complained that
Exim
Exim is a mail transfer agent (MTA) used on Unix-like operating systems. Exim is free software distributed under the terms of the GNU General Public License, and it aims to be a general and flexible mailer with extensive facilities for checking ...
of China doesn't follow the export financing guidelines promulgated by the
OECD
The Organisation for Economic Co-operation and Development (OECD; french: Organisation de coopération et de développement économiques, ''OCDE'') is an intergovernmental organisation with 38 member countries, founded in 1961 to stimulate e ...
and so has an unfair advantage.
Foreign aid
The bank is a part of the
Chinese foreign aid
Chinese Aid, foreign aid may be considered in this article as both governmental (official) and private development aid and humanitarian aid originating from the China, People’s Republic of China.
Chinese official aid - unlike most major natio ...
system and administers the Two Preferential Loan Program (). The concessional loan () and preferential export buyer's credit () are the two main loan products under the preferential loan program.
For concessional loans the bank advances a no interest or very low interest rate loan to a developing country government or agency to build a project (e.g. power plant, road, water treatment facility). The term of the concession loan is up to 20 years and a maximum
grace period
A grace period is a period immediately after the deadline for an obligation during which a late fee, or other action that would have been taken as a result of failing to meet the deadline, is waived provided that the obligation is satisfied durin ...
of 7 years is given. The preferential export buyer's credit is provided to a foreign borrower to purchase Chinese goods or services (e.g.
construction contractor
A general contractor, main contractor or prime contractor is responsible for the day-to-day oversight of a construction site, management of vendors and trades, and the communication of information to all involved parties throughout the course of ...
building the project). Like the concessional loan, this type of loan is also subsidized by the Chinese government. Interest rates are below market rates at around 3 to 6%. However, the preferential export buyer's credit is generally classified as a commercial loan rather than foreign aid even if the interest rate is very low because the purpose is to promote Chinese exports.
These two types of loans are a major part of the financing support for China's
Belt and Road Initiative
The Belt and Road Initiative (BRI, or B&R), formerly known as One Belt One Road ( zh, link=no, 一带一路) or OBOR for short, is a global infrastructure development strategy adopted by the Chinese government in 2013 to invest in nearly 150 ...
.
During the
Covid pandemic
The COVID-19 pandemic, also known as the coronavirus pandemic, is an ongoing global pandemic of coronavirus disease 2019 (COVID-19) caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The novel virus was first identifi ...
, the bank granted the government of
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an undisclosed amount of debt relief.
Organizational structure
Internal Departments
* Executive Office
* Human Resources Department
* Business Development & Innovation Department
* Corporate Business Department
* Shipping Financing Department
* Onlending Department
* Planning & Financial Management Department
* Evaluation Department
* Auditing Department
* Legal Affairs Department
* International Business Department
* Risk Management Department
* Administrative Department
* Supervision Office
* Economic Research Department
* Department of Special Account Financing
* Corporate Business Department
* Concessional Loan Department
* Treasury Department
* Information Technology Department
* Compliance Department
* Accounting Department
* Workers Union
* Software Development Department
* Party & League Affairs Department
Business branches
There are a total of 21 branches of the bank.
*
Anhui
Anhui , (; formerly romanized as Anhwei) is a landlocked province of the People's Republic of China, part of the East China region. Its provincial capital and largest city is Hefei. The province is located across the basins of the Yangtze River ...
Branch
*
Beijing
}
Beijing ( ; ; ), alternatively romanized as Peking ( ), is the capital of the People's Republic of China. It is the center of power and development of the country. Beijing is the world's most populous national capital city, with over 21 ...
Branch
*
Chengdu
Chengdu (, ; Simplified Chinese characters, simplified Chinese: 成都; pinyin: ''Chéngdū''; Sichuanese dialects, Sichuanese pronunciation: , Standard Chinese pronunciation: ), Chinese postal romanization, alternatively Romanization of Chi ...
Branch
*
Chongqing
Chongqing ( or ; ; Sichuanese dialects, Sichuanese pronunciation: , Standard Mandarin pronunciation: ), Postal Romanization, alternately romanized as Chungking (), is a Direct-administered municipalities of China, municipality in Southwes ...
Branch
*
Dalian
Dalian () is a major sub-provincial port city in Liaoning province, People's Republic of China, and is Liaoning's second largest city (after the provincial capital Shenyang) and the third-most populous city of Northeast China. Located on the ...
Branch
*
Fujian
Fujian (; alternately romanized as Fukien or Hokkien) is a province on the southeastern coast of China. Fujian is bordered by Zhejiang to the north, Jiangxi to the west, Guangdong to the south, and the Taiwan Strait to the east. Its capi ...
Branch
*
Guangdong
Guangdong (, ), alternatively romanized as Canton or Kwangtung, is a coastal province in South China on the north shore of the South China Sea. The capital of the province is Guangzhou. With a population of 126.01 million (as of 2020) ...
Branch
*
Heilongjiang
Heilongjiang () formerly romanized as Heilungkiang, is a province in northeast China. The standard one-character abbreviation for the province is (). It was formerly romanized as "Heilungkiang". It is the northernmost and easternmost province ...
Branch
*
Hubei
Hubei (; ; alternately Hupeh) is a landlocked province of the People's Republic of China, and is part of the Central China region. The name of the province means "north of the lake", referring to its position north of Dongting Lake. The prov ...
Branch
*
Hunan
Hunan (, ; ) is a landlocked province of the People's Republic of China, part of the South Central China region. Located in the middle reaches of the Yangtze watershed, it borders the province-level divisions of Hubei to the north, Jiangxi to ...
Branch
*
Jiangsu
Jiangsu (; ; pinyin: Jiāngsū, Postal romanization, alternatively romanized as Kiangsu or Chiangsu) is an Eastern China, eastern coastal Provinces of the People's Republic of China, province of the China, People's Republic of China. It is o ...
Branch
*
Nanjing
Nanjing (; , Mandarin pronunciation: ), alternately romanized as Nanking, is the capital of Jiangsu province of the People's Republic of China. It is a sub-provincial city, a megacity, and the second largest city in the East China region. T ...
Branch
*
Ningbo
Ningbo (; Ningbonese: ''gnin² poq⁷'' , Standard Mandarin pronunciation: ), formerly romanized as Ningpo, is a major sub-provincial city in northeast Zhejiang province, People's Republic of China. It comprises 6 urban districts, 2 sate ...
Branch
*
Qingdao
Qingdao (, also spelled Tsingtao; , Mandarin: ) is a major city in eastern Shandong Province. The city's name in Chinese characters literally means " azure island". Located on China's Yellow Sea coast, it is a major nodal city of the One Belt ...
Branch
*
Shanghai
Shanghai (; , , Standard Mandarin pronunciation: ) is one of the four direct-administered municipalities of the People's Republic of China (PRC). The city is located on the southern estuary of the Yangtze River, with the Huangpu River flow ...
Branch
*
Shanxi
Shanxi (; ; formerly romanised as Shansi) is a landlocked province of the People's Republic of China and is part of the North China region. The capital and largest city of the province is Taiyuan, while its next most populated prefecture-lev ...
Branch
*
Shenzhen
Shenzhen (; ; ; ), also historically known as Sham Chun, is a major sub-provincial city and one of the special economic zones of China. The city is located on the east bank of the Pearl River estuary on the central coast of southern province ...
Branch
*
Tianjin
Tianjin (; ; Mandarin: ), alternately romanized as Tientsin (), is a municipality and a coastal metropolis in Northern China on the shore of the Bohai Sea. It is one of the nine national central cities in Mainland China, with a total popul ...
Branch
*
Xiamen
Xiamen ( , ; ), also known as Amoy (, from Hokkien pronunciation ), is a sub-provincial city in southeastern Fujian, People's Republic of China, beside the Taiwan Strait. It is divided into six districts: Huli, Siming, Jimei, Tong'an, ...
Branch
*
Xi'an
Xi'an ( , ; ; Chinese: ), frequently spelled as Xian and also known by #Name, other names, is the list of capitals in China, capital of Shaanxi, Shaanxi Province. A Sub-provincial division#Sub-provincial municipalities, sub-provincial city o ...
Branch
*
Xinjiang
Xinjiang, SASM/GNC: ''Xinjang''; zh, c=, p=Xīnjiāng; formerly romanized as Sinkiang (, ), officially the Xinjiang Uygur Autonomous Region (XUAR), is an autonomous region of the People's Republic of China (PRC), located in the northwest ...
Branch
*
Yunnan
Yunnan , () is a landlocked Provinces of China, province in Southwest China, the southwest of the People's Republic of China. The province spans approximately and has a population of 48.3 million (as of 2018). The capital of the province is ...
Branch
*
Zhejiang
Zhejiang ( or , ; , also romanized as Chekiang) is an eastern, coastal province of the People's Republic of China. Its capital and largest city is Hangzhou, and other notable cities include Ningbo and Wenzhou. Zhejiang is bordered by Jiang ...
Branch
See also
*
China International Development Cooperation Agency
The China International Development Cooperation Agency (CIDCA); is a foreign aid agency of the People's Republic of China. It is directly subordinate to the State Council. It was created to "achieve better coordination and greater impact" of ...
*
Banking in China
China's banking sector had () in assets at the end of 2020. The "big four/five" state-owned commercial banks are the Bank of China, the China Construction Bank, the Industrial and Commercial Bank of China, and the Agricultural Bank of China, ...
References
External links
Official website of China Exim Bank
{{DEFAULTSORT:Exim Bank Of China
Banks of China
Banks established in 1994
Export credit agencies
Development finance institutions
Chinese foreign aid
Foreign trade of China
Chinese companies established in 1994