Chinese, German banks issue first batch of $140m funds

The China Development Bank and Landesbank Baden-Wurttemberg, a major bank of Germany, have issued the first batch of 1 billion yuan ($140 million) of funds for areas such as small and mid-sized enterprises, third-party markets, green finance and sustainable finance under the framework of cross-border renminbi cooperation, CDB announced on Wednesday.

The move is part of the joint efforts between the two banks to implement the consensus reached during the third China-Germany high-level financial dialogue held in Frankfurt last October, promoting financial cooperation between the two countries, the bank said.

The two sides reached consensus on 25 items during the third China-Germany high-level financial dialogue, which included encouraging qualified financial institutions to invest and conduct business in each other's market, and supporting German financial institutions to conduct renminbi business and related financial services to facilitate cross-border trade and investment.

In March 2014, China and Germany established the high-level financial dialogue mechanism aimed at strengthening their cooperation in the fiscal and financial sectors. Through multilateral and bilateral channels, it seeks to enhance coordination of macroeconomic policies, jointly promote global economic recovery and sustainable development, and maintain global financial stability.