AFCA Industry Finance Seminar was Held in Beijing

On June 28, 2023, the Industry Finance Seminar was held in Beijing, co-organized by Asian Financial Cooperation Association (AFCA) and International Commercial Dispute Prevention and Settlement Organization(ICDPASO) with the theme of Innovation and Risk Management in International Syndicated Loan Business. The seminar consists four parts, the Welcome Remarks, Keynote Speech, Discussion Session and ConcludingRemarks. Ms. Cui Xisu, DeputyDirector of the Industry Finance Cooperation Committee(IFCC) of AFCA and Deputy Senior Manager of the Corporate Banking Department of China Construction Bank, presided over the seminar. More than 40 members of IFCC of AFCA and relevant people attended.

Mr. Liu Chao, Secretary General of ICDPASO, addressed in the Welcome Remarks that the prevention and management of legal risks and dispute settlement are key elements to ensure the stable development of international syndicated loan business. Investment disputes should not only focus on settlement, but also attach importance to the role of the first line of defense for dispute prevention. He looked forward to deepening the understanding of the positive significance of legal risk prevention in advance through discussions, and promoting more cooperation in the field of dispute prevention and settlement.

Ms. Zhao Xianfeng, Deputy Secretary General of AFCA, noted in her Welcome Remarks that with the improvement of the level of opening up of China's financial market, there is huge space for the development of international syndicated loan business. She expected to gather new ideas and new consensus through peer discussions, promote the development of international syndicated loan business to adapt to the new complex and changing global economic and financial situation, and strive to solve the financing gap faced by less developed countries and developing countries, and support the development of the regional real economy.

Mr. Zhang Mingsheng, Director ofInternationalInvestmentBankingServiceof Investment Banking Department of Agricultural Bank of China, shared a comprehensive overviewofhistoryand market characteristics of international syndicated loan developmentandproductoverview, securitization/structured/sustainable/green and other business development features and innovation trends, as well asthoughts on business development with the topic of International Syndicated Loan Business Market Situation and Innovative Products Introduction.

Mr. Ma Feng, Partner of King & Wood Mallesons,gave an in-depth explanation of the core mechanisms, model agreements, market practices, security principles, inter-creditor agreements, and other common mechanisms and legal issues of international syndicated loan with the topic of Market Practices, Documentation and Negotiation Priorities of International Syndicated Loan.

During the Discussion Session, Mr. Duan Ruiqi, General Manager of Capital Markets Department of Mizuho Bank (China) Limited, Mr. Jiang Ying, Senior Manager of Trading & Financing Division of International Banking Department/Offshore Banking Center of Head Office of Bank of Communications, Mr. Xiao Guangrui, CEO of BeijingBridata Technology, Ms. Lei Jiamei, General Manager of International Credit Center of Transaction Banking Department of China Minsheng Bank, Mr. Andy Leung, Headof Syndicate and Structured Finance of Corporate Business Department II of Agricultural Bank of China Limited Hong Kong Branch, Mr. Wang Mingkun, Managing Director of Investment Bank Cooperative Headquarters of China Galaxy Securities, and other guests participated in the discussion. The topicsofthe guests focused on the practical cases of international syndicated loan, differentiated product innovation, new trends needs and opportunities of business development, cooperation research on country-specific risk and project information sharing, dilemmas and difficulties in business development, project evaluation and data sharing by means of Big data, the necessity of applying differentiated regulatory policies to international syndicates and domestic syndicates in China, differences in risk preference between Chinese and foreign banks and opportunities for cooperation, the significance of the transformation of syndicated loans from held-to-maturity mode to transfer mode, and how to promote the synergistic development of domestic and overseas, improve the bidding ability of banks for international syndicated loan, improve the ability of cross-border comprehensive financial services and build a communication platform to promote business cooperation, etc. The discussionamongtheguestswas wonderfully and enthusiastically.

In her Concluding Remarks, Cui Xisu, Deputy Director of IFCC said that with the accelerated evolution of the unprecedented changes in a century, the international industrial system is undergoing profound changes, with significant increase of uncertainty and instability. The world economic recovery is facing serious challenges. As the most dynamic and potential region in the global economy, how to seize opportunities and meet challenges in Asia is inseparable from new cross-regional financial solutions and new regional financial cooperation. She emphasized that banks, securities, insurance companies and other institutions in various countries and regions should cooperate with bilateral and multilateral financial institutions to promote the development of cross-border financial services such as syndicated loan, M&A, offshore financial settlement and exchange, and build an interconnected international financial service network. The IFCC of AFCA will continue to builda communication platform to further enhance the depth and breadth of cooperation, and provide sustainable financial solutions for the real economy. The meeting also discussed the future work of the IFCC.