MoU to Boost RSW Ecosystem and Assist SMEs

All the parties at the virtual MoU signing, witnessed by (from top left) Deputy General Manager of International Business Department of CCB, Mr. Wang Qijie; the First Secretary of Economic and Commercial Office of the Embassy of PRC in Malaysia, Ms. Yao Yi; and EXIM Bank’s Officer-in-Charge, Mr. Chin Chon Young

China Construction Bank (Malaysia) Berhad and China Construction Bank Corporation Labuan Branch (collectively referred to as “CCB Malaysia”) have signed a Memorandum of Understanding (MoU) with SealNet Sdn Bhd, Bay Supply Chain Technology Sdn Bhd (CapBay) and Labuan Digital Authentication Centre Inc (DAC) to collaborate together to build a comprehensive Regional Single Window (RSW). 

Export-Import Bank of Malaysia Berhad (“EXIM Bank”), as the government-owned vehicle in stimulating and enhancing the competitiveness of Malaysian industries for exports and investments globally and a partner of the project, was invited to witness the ceremony. 

The MoU cloud signing ceremony was witnessed by First Secretary of Economic and Commercial Office of the Embassy of PRC in Malaysia, Ms. Yao Yi; Deputy General Manager of International Business Department of CCB, Mr Wang Qijie; EXIM Bank’s Officer-in-Charge, Mr Chin Chon Young; and the signing of MoU was represented by Mr Felix Feng Qi, CEO, CCBM and Principal Officer, CCBL; while SealNet Sdn Bhd was represented by Dato’ Patrick Wong, Executive Director; CapBay was represented by Mr Ang Xing Xian, CEO; and Labuan Digital Authentication Centre Inc. was represented by its Director, Dato’ Tee Ting Cham.

RSW was mooted with the intention to promote international trade facilitation with major trading partner nations, as well as to assist SMEs in export and import financing through an ecosystem approach. The RSW will be an AI-based trade facilitation digital platform that connects trade finance, insurance, and logistics in one single marketplace. To complement the RSW, CCB’s Smart Matchmaking Platform, CCB Match Plus, will integrate- domestic and international data, to facilitate the matching of cross border merchandise supply and demand. CapBay, working with all parties and EXIM Bank, will supplement the RSW ecosystem with e-Trade Financing platform to present Malaysian SMEs with better access to trade financing. 

Through this collaboration, SealNet will connect RSW to customers comprising importers, exporters, manufacturers and trade-related businesses. A digital logistic platform that provides one-stop cloud-based logistics and cross border services to ease trade processes, SealNet is positioned as the digital trade connector enabling ease in not only regional but global trade as well.

During the ceremony, EXIM Bank’s Mr Chin stated: “This MoU signifies the start of an exciting development for the exporters and importers in Malaysia, as the Regional Single Window is designed with convenience and financial accessibility in mind, backed by digital technology. As the government's vehicle to drive the nation's import and export sector, we are honoured to witness this cooperation today and will continue to provide our support towards the success of this initiative.”

Mr Wang Qijie added: “CCB Malaysia would like to demonstrate strong support for Regional Single Window’s efforts to expand and strengthen its platform capability by offering our initiative to link CCB Match Plus B2B matchmaking platform with Regional Single Window. By having direct linkage, it would create a business value chain towards our customers where match made business in CCB Match Plus could flow through seamlessly to Regional Single Window for transaction execution”. 

Dato’ Patrick Wong said: “With SealNet, we are looking to address the pain points that have hindered efficiency and contributed to unnecessary costs in the industry. SealNet is intelligently built to bridge global supply chains and logistics to enhance efficiency of transport and trade facilitation mechanisms, to improve productivity of freight logistics industry, and provide a better electronic system for logistics and cross border trade. Customers, big and small, can have easy and secured access to SealNet’s digital trade platform anytime, anywhere to enjoy time and cost saving, as well as operate in real time with data accuracy.” 

In 2020, Malaysia’s total exported goods represent 26% of its overall Gross Domestic Product, compared to 22.1% in 2019. With the growing export trend, the Regional Single Window will further support and create a strong foundation to ease and cultivate additional trades within the region. 

Under the MoU, by leveraging on the expertise of the partners, the parties will collaboratively build a comprehensive trade financing credit model as the key component to support the e-Trade Financing platform. Collaborating partners also agree to work together in the area of linking CCB Match Plus to the RSW ecosystem, while CCB Malaysia will handle the clearings and settlements behind the scene. To illustrate, by leveraging on trade data available in the RSW ecosystem, businesses in Malaysia will be able to benefit from affordable financing and further grow the Malaysian economy.