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Future of ICM shown by new Deutsche Bank & Bank of China interbank H-to-H platform

Deutsche Bank and Bank of China today announced the implementation of an inter-bank host-to-host platform between the two banks to provide cash management services to Bosch China. With this solution, Deutsche Bank has become the first foreign bank in China to establish host-to-host connectivity with Bank of China, with Bosch being the first corporate to benefit from this partnership.

Meeting Bosch’s needs

To meet Bosch’s banking needs and improve its cash management service experience, Deutsche Bank and Bank of China set up a project team in September 2015. Through more than three months of close cooperation and effort contributed by all parties concerned, the host-to-host platform was officially launched in January 2016.

The host-to-host connectivity enables Bosch to execute domestic and cross-border payments in both RMB and foreign currencies, and make account balance and transaction inquiries, whilst maintaining only one Internet banking platform.

e-Integrated partner bank solution

Partner banking and ICM solutions vary considerably with the lowest quality being offered by the referred correspondent to the highest from e-integrated partner bank solution:

Ths new inter-bank arrangement with Bank of China offers a far higher quality solution than the SLA partner banking arrangement, as it enables the two banks to receive and transmit messages in an agreed protocol and format. And will provide a platform for offering further services.

Deutsche Bank* see an increasing number of multinational companies adopting centralised treasury management models. They believe that e-integrated partner bank model enables corporates to more easily manage multi-bank accounts with the streamlined process and have greater visibility of their overall cash positions.

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* Deutsche Bank’s revenues in Asia grew by 14% year-on-year in 2015, with all businesses growing at double digit percentages.


CTMfile take: e-integrated banking model offers a realistic solution for the large banks to offer multi-country/regional ICM services that the MNCs need and allows them to rationalise their ICM networks as they adjust to the new cost and strategic pressures. We expect many more such solutions to be delivered over the next 2-3 years.


This item appears in the following sections:
Cash & Liquidity Management
Cash & Liquidity Management in Asia-Pacific
Global Cash & Liquidity Management
Partner Banking & ICM Solutions

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