China banks step in where CNAPS fears to tread

 What are the specific problems companies encounter in China relating to accounts receivables, especially when the company has several locations across the country
Cross-city receivables is one of the biggest problems.  Although cheques are acceptable “in-city”, the instrument cannot be used for cross-city payments and therefore electronic funds transfer EFT is the default choice.   The truly nationwide EFT in China is called CNAPS China National Advanced Payment System, but because of high transaction cost involved, CNAPS remittance can only be supported by a selected number of banks branches in China.
Electronic migration has begun for a majority of cross-city payments where wire transfers via the...