Deutsche Bank has launched a new intra-day cross-border sweeping solution in South Korea, which allows its clients to move currency in and out of the country.

The tool is implemented through the Bank of Korea’s Consolidated Management of Funds (CMF) structure, through which companies agree to consolidate surplus or deficit of funds when they make overseas deposits, foreign currency loans or collateral provisions based upon funds sharing contracts.

This allows the transfer of up to US$30mn per day, to Singapore, Hong Kong, Frankfurt, London and New York.

It means clients will be able to manage their liquidity throughout the day – alleviating the costs associated with transferring cash at the end of the business day. In a statement, Deutsche confirms that its clients will be able to move euro and US dollar surpluses.

In short: if a client is sitting on excess capital in Korea, it can put it to work in the agreed offshore locations using Deutsche Bank’s new system.

While Deutsche has been very active in pursuing cross-border payment and transfer options in Mainland China, it hopes that by combining this innovation with its existing FX4Cash cash management solution, it can gain a march on its competitors in a Korean banking market that is notoriously difficult for international banks to penetrate.

“We are pleased to launch this new foreign currency cross-border cash sweeping service in South Korea. This service, combined with our FX4Cash platform, will add tremendous value to our corporate clients,” says Kaushik Shaparia, head of trade finance and cash management for Asia Pacific.