Standard Chartered is expected to increase the number of its
branches and sub-branches in China from the present 22 to 40 this
year and upgrade its three representative offices to branches right
after its incorporation upon regulatory approval, said the bank
yesterday.
Peter Sands, group chief executive of Standard Chartered PLC,
described its process of getting approval from the China Banking
Regulatory Commission (CBRC) to incorporate Standard Chartered
(China) Limited as "very smooth".
"We expect to be incorporated early next month and plan to start
operating under the new entity next month," Sands said yesterday in
Beijing.
The new entity will provide a whole range of banking services
that it will be entitled to pursue under the CBRC mandate including
renminbi services to local residents.
"I would hope our renminbi business would be very profitable
very quickly," said Sands.
"The incorporation of our business here will be a testament to
our commitment to the development of our business in China, where
we are accelerating investment to expand our network, enhance
product capabilities and reinforce infrastructure."
"We have strong expertise in many of the consumer banking
products, including mortgages, wealth management, credit cards and
personal loans," said Katherine Tsang, CEO of Standard Chartered
China.
Standard Chartered was the first bank to submit its initial
application for incorporation on November 16 and was one of the
four foreign banks that passed the initial inspection of China's
top banking regulator this month. The other three are HSBC,
Citigroup and Bank of East Asia.
"2006 saw a very substantial increase from 2005 in terms of
investments in China and we will be increasing that level of
investment again very substantially," said Sands.
Standard Chartered has never ruled out the possibility of buying
another domestic bank if it can meet the bank's rigid strategic and
financial standards.
(China Daily March 14, 2007)