Overview of offshore banking units (March 2009)
PRESS RELEASE Release Date: May 12, 2009
Overview of offshore banking units (March 2009)
At the end of March 2009, there were 63 offshore banking units (OBUs) including 36 domestic banks and 27 foreign banks. The combined assets of all OBUs amounted to US$100.362 billion at the end of March 2009, an increase of US$3.552 billion or 3.67% compared to the same period of the previous year. Domestic bank OBUs accounted for US$73.151 billion or 73% of these combined assets, and foreign bank OBUs accounted for US$27.211 billion or 27% of the total.
The turnover of foreign exchange trading by all OBUs in March 2009 was US$13.052 billion consisting of (1) spot transactions for US$8.073 billion, (2) outright forwards for US$2.608 billion, and (3) foreign exchange swaps for US2.371 billion.
Based on balance sheet analysis, the OBUs main sources of funds were due to related offices and deposits by financial institutions, which accounted for 61% of total liabilities including (1) due to related offices for 54%, (2) inter-OBU deposits for 3%, (3) deposits by financial institutions situated locally for 3%, and (4) deposits by financial institutions located overseas for 1%. The other sources of funds included deposits by non-financial institutions accounting for 32% of total liabilities, and other liabilities plus the equity of head office for 7%. In terms of the area of origin, Asia accounted for 72%, followed by America for 22%, Europe for 4%, and other areas for 2%.
The main uses for funds were due from related offices and deposits with financial institutions, which accounted for 53% of total assets including (1) due from related offices for 34%, (2) deposits overseas for 14%, (3) deposits with domestic OBUs for 3%, and (4) deposits with other domestic financial institutions for 2%. The other uses of funds included (1) loans for 31%, (2) security investments for 11%, and (3) other assets for 5%. Asia was the main destination for funds, accounting for 61%, followed by America for 24%, Europe for 13%, and other areas for 2%.
The total value of all outstanding loans made by OBUs at the end of March 2009 was US$30.690 billion, of which 97% was extended to overseas clients, including long-term loans for US$19.668 billion and short-term loans for US$9.952 billion. The remaining 3% was extended to local clients for US$1.070 billion.
The volume of export related banking business of all OBUs in March 2009 was US$22.440 billion including (1) export collection, export remittance, and accounts receivable factoring for US$21.301 billion and (2) export negotiation for US$1.139 billion. The volume of import related banking business of all OBUs was US$19.944 billion.
The turnover of other derivative products trading by all OBUs in March 2009 was US$33.195 billion including (1) financial futures for US$26.109 billion, (2) options for US$6.308 billion, (3) foreign currency interest rate swaps for US$278 million, (4) credit derivatives for US$278 million, (5) margin account trading for US$195 million, (6) commodity forward contracts for US$26 million, and (7) commodity swaps for US$1 million.
Note: The next dissemination will be made at 16:20 p.m. on June 9, 2009.