Citi to Provide CLS Services to Bank of China (Hong Kong)
Citi’s Global Transaction Services has announced that it has signed an agreement with Bank of China (Hong Kong) (BOCHK) to appoint Citi as its continuous linked settlement (CLS) nostro agent for US dollar. Under the agreement, Citi will provide nostro account services and liquidity to BOCHK to facilitate CLS settlement with CLS Bank, the industry-operated foreign exchange cooperative, owned by 69 shareholder banks. BOCHK’s parent company, Bank of China Limited, became a shareholder bank of CLS Bank in late 2006. Acting as a settlement member, BOCHK is closely involved in its parent’s global CLS initiative. Citi was selected as BOCHK’s Nostro Agent Bank through a selective bidding process that included other major service providers.