Shinhan Bank launches cross-currency overseas remittance service for corporate clients

Shinhan Bank said Thursday it has launched a cross-currency overseas remittance service exclusively for corporate customers, aimed at making international payments and global cash management more convenient.

The service lets corporate clients send funds in US dollars while the overseas recipient receives payment in their local currency, eliminating the need for a separate currency conversion on the receiving end.

Available at Shinhan Bank branches, the service currently supports 11 currencies — including the Taiwan dollar (TWD), Mexican peso (MXN), Malaysian ringgit (MYR) and Philippine peso (PHP) — with plans to expand to 27 currencies in July.

When a corporate customer specifies the local currency and amount the overseas recipient is to receive, Shinhan Bank converts the sum into US dollars and forwards it to a partner remittance institution, which then converts the dollars into the recipient's local currency for final payment. Recipients can receive funds directly in their local currency without additional exchange procedures, reducing the friction that arises when the remittance currency differs from the actual settlement currency.

The service was designed to meet a range of corporate cross-border funding needs, including payments to overseas business partners, transfers of operating funds to foreign subsidiaries and settlement of trade payments. Customers can use the service without a remittance cap, provided they complete the required reporting and documentation procedures under applicable laws and foreign exchange transaction regulations.

"As Korean companies expand their global footprint and diversify local transactions, corporate demand for multinational currency remittances is becoming increasingly complex and sophisticated," a Shinhan Bank official said. "We will continue to build a more robust cross-border foreign exchange support infrastructure so that our corporate clients can grow without financial constraints, wherever they operate in the world."