BIZCHINA / Overseas Investment
HSBC rolls out another branch in Shanghai
By Wang Zhenghua (China Daily)
Updated: 2006-05-31 09:10
HSBC, Europe's biggest bank, rolled out a new sub-branch yesterday in the
city in a move to quicken its expansion in China.
The bank's fifth outlet in Shanghai, the Kirin Plaza sub-branch, is
designed to meet the needs of both retail and commercial banking
customers.
The lender has expanded its network presence in China to 23 outlets,
including 12 branches and 11 sub-branches.
Meanwhile, the Hong Kong-based Hang Seng Bank 62 per cent owned by HSBC,
opens a fourth sub-branch in Shanghai today.
"We are delighted to be able to extend our services to one of Shanghai's
most dynamic districts," Richard Yorke, chief executive officer of HSBC
China, said yesterday.
"The four Chinese cities that we are focused on (Beijing, Shanghai,
Shenzhen and Guangzhou) correspond in terms of the number of inhabitants
to a reasonably large European country," he said.
"It therefore makes sense to capture this attractive retail market by
opening up sub-branches," he said. "It's important for a bank to be close
to its customers, especially in a country as large as China."
China is regarded at the heart of HSBC's strategy, and its importance is
reflected in the scale of the bank's investment.
As of 2005, the lender's total equity investment had exceeded US$4
billion the largest of any foreign investor.
It includes an 8 per cent stake in Bank of Shanghai, a 19.9 per cent
stake in Ping An Insurance and a 19.9 per cent in Bank of Communications,
the country's fifth largest lender.
It has filed applications for representative offices in Hangzhou and
Ningbo in East China's Zhejiang Province, and Dongguan in South China's
Guangdong Province.
The lender has obtained the approval to set up a branch in Hangzhou,
which is expected to open later this year.
Foreign lenders have begun to look beyond providing only retail and
commercial banking services.
At yesterday's press conference prior to the opening ceremony in Kirin
Plaza, HSBC's President and Chief Executive Officer Michael Smith said:
"It's sensible for HSBC to co-operate with new ventures."
He said the bank would not rule out the possibility of linking up with
the Bank of Communications in fund management, as long as government
policy allows the deal.
Fund management has become a focus for foreign banks since the launch of
the qualified domestic institutional investors (QDII) scheme last month.
Under the scheme, qualified financial institutions, such as commercial
banks, insurers and fund companies, are allowed to invest overseas.
Many Hong Kong banks believe they have the capability to help maximize
returns.
Also, the Interim Provisions on the Administration of Overseas Investment
by the National Social Security Fund took effect earlier this month,
indicating China has finally cleared all the hurdles necessary to allow
the fund to invest overseas.
(For more biz stories, please visit Industry Updates)
Most Popular Stories in 48 Hours
� Luxury cars are big boys' toys
� Full speed ahead for Shanghai express
� Godfather of information industry
� Individual gold transactions in China brisk
� China closes over 2,600 enterprises
Today's Top News
� Official: SCO not an eastern version of NATO
� 9.5 million sit college exam this year
� Tianjin gets the nod for new-area plan
� Malformed baby has third arm removed
� Doctors remove third arm from boy
Top Biz News
� BOC gears up for largest mainland IPO
� Central bank denies issuing 500-yuan notes
� Over 60% of land use in Chinese cities illegal
� Wen, Merkel discuss nuclear issue by phone
� Nuke fusion reactor gives a headstart
Alibaba is the largest B2B marketplace in the world. Source model ship,
wooden puzzle, one-piece toilet, RC hovercraft, photo album, prom dress,
pocket bike, Vaginal Speculum, Samurai Sword, String Panty and PVC Pipe.
Chinese Online Class
No comments:
Post a Comment