Regional Liquidity Management: Making the Right Choices

 This article reviews some key regulatory hurdles in regional liquidity management structures, and a few key issues that can enable treasurers to minimise the impact of these hurdles and maximise their company’s regional liquidity.
 Some of these hurdles include non-convertible currencies, controls on foreign exchange and offshore accounts, and restricted automated cross-border cash concentration links.
 Successful strategies include a centralised treasury structure, choosing the right banking partner, knowing how to leverage the company’s trade flows and favouring electronic payment means over traditional paper instruments.
 Companies making these critical choices will maximise the benefits of these strategies. Choosing Hong Kong or Singapore as the location for...