Banking News
- StanChart to incorporate on mainland
Date: 15-Mar-2007 Sources: (Shenzhen Daily)
ASIA-FOCUSED bank Standard Chartered Plc aims to operate as an incorporated entity on the Chinese mainland from April, a move which will help realize its dream of tapping the country's potentially lucrative retail market.
Standard Chartered was among the first global banks to submit its application to set up as a local firm in November, a prerequisite to conducting business with Chinese individuals in local currency terms.
During his first visit to Beijing since taking over as group chief executive late last year, Peter Sands said the bank's application had proceeded smoothly and that regulatory approval could be close. 'We plan to start operating under the new entity next month, subject, of course, to approval by the local regulator,'he said.
Incorporating on the mainland would be an important stepping stone to rapidly launching a wide array of new yuan-denominated financial products. As soon as it has incorporated, Standard Chartered would seek to upgrade its three representative offices into branches, pending the go-ahead from the China Banking Regulatory Commission. By the end of 2007, the bank hopes to have some 40 branches or sub-branches on the mainland, up from 22 now, Sands said.
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