Introduction  
The Foreign Currency Pledged Loan refers to RMB loans issued to foreign-invested companies who use their foreign currency deposit as pledge.

Functions and Features  
It meets the RMB funding needs of foreign-invested companies during their operation and helps the customer to avoid foreign exchange rate risk in currency conversion. 

Target Clients 
Foreign-invested companies that open foreign currency accounts at Hua Xia Bank (including Sino-foreign joint ventures, Sino-foreign partnership, and FDI).

Currency and Tenor 
The loan is denominated in RMB. The pledged currency is only limited to USD, JPY, EUR, GBP, HKD, and CHF. The maximum loan tenor is one year. However, the maturity of the loan should not be later than maturity of the pledged foreign currency deposit. 

Interest Rate
The loan interest rate is defined as per the benchmark interest rate and spread regulated by the People's Bank of China. The interest rate should be stated in the loan contract.

Application Materials 
1) Credit application; 
2) Most recent financial statements of the borrower and the pledger; 
3) Board resolutions of the borrower and the pledger; 
4) Credit assurance commitment written by the pledger; 
5) Foreign currency Time Deposit certificate for pledge; 
6) Fund usage plan and statement for source of fund for repayment; 
7) Business contract relating to loan usage.