Banking News
- S. Korean bank opens 1st China subsidiary
Date: 13-Nov-2007 Sources: (Shenzhen Daily)
WOORI Bank said it set up a wholly owned subsidiary in China yesterday, the first such move by a South Korean lender, as part of its efforts to tap into the Asian banking market.
The bank, South Korea's No. 2 in terms of assets, said it launched Woori Bank China in Beijing to expand into the Chinese retail banking market.
South Korean lenders are increasingly trying to make inroads into foreign markets as competition intensifies domestically.
'By opening the Chinese unit, we are moving one step further towards establishing an Asia-wide network,'said Park Byong-Won, chairman of parent company Woori Finance.
'By 2010, we aim at opening 53 branches in China and raising the number of branches to 200 around the world.'
Woori Bank, which currently has 39 branches worldwide, said it planned to start a debit card business in China next year before expanding into the credit card market later.
The bank already has five branch offices in China - two in Shanghai and one each in Shenzhen, Beijing, and Suzhou - but they can only offer restricted services compared to the new subsidiary.
The bank posted a net profit of 244.3 billion won (US$268.4 million) in the third quarter, down 53.9 percent from a year earlier.
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