China Construction Bank (CCB) signed a Memorandum of Understanding (MoU) with the One Belt One Road Association Malaysia on Monday for small and medium-sized enterprises (SMEs) to participate in the 127th China Import and Export Fair being held virtually for the first time.

In his opening remarks, the association's president and former Malaysian ambassador to China Iskandar Sarudin said that the MoU built upon the close relationship that has grown between the business communities of both countries.

"I am also confident that through our effort and commitment, we will be able to achieve more and to foster closer bond, even stronger relationships and friendship which (is) beneficial mutually between the peoples of Malaysia and China," he said.

As part of the MoU, CCB programs would be promoted to members of the association through cloud conferences and exhibitions related to trade and economics among business communities in Malaysia, China and other countries participating in the China-proposed Belt and Road Initiative (BRI).

CCB will share financial information analysis related to financial markets, economics, investment, as well as utilization of finTech platforms with the association, Iskandar said.

For his part, CCB Malaysia chief executive officer Feng Qi said the import and export Canton Fair 2020 uses cloud technology to feature goods on its website and mobile app, allowing over 600,000 merchants from over 100 participating countries to experience the new online trade and network.

He added that CCB would use the Canton Fair to promote Malaysian SMEs and introduce Chinese businesses while helping to enhance trade between Malaysia and China, between China and Association of Southeast Asian Nations (ASEAN).

"We have innovated new payment methods based on blockchain technology, which will significantly reduce the time to complete cross-border payments in seconds compared with one to days previously," said Feng.

He added that the payment method is offered free for all Malaysian SMEs in the effort to push Malaysia to become the hub for the ASEAN market.

The 127th China Import and Export Fair, popularly known as Canton Fair, kicked off online last week, a first for the decades-old trade fair, in south China's Guangdong Province.

This year's online fair, which will last for 10 days, has attracted around 25,000 enterprises in 16 categories with 1.8 million products.

Founded in 1957, the Canton Fair is seen as an important barometer of China's foreign trade.