Two Chinese banks granted licence to do business
A government spokesman said today (Friday) that the Agricultural Bank of China (ABC) and the Industrial and Commercial Bank of China (ICBC) had each been granted a banking licence to conduct business in Hong Kong.
ABC, one of the four specialised banks in China, is the fourth largest bank in China in terms of assets after the Industrial and Commercial Bank of China, the Bank of China and the People's Construction Bank of China.
It ranked 52nd in the world in terms of assets and 60th in terms of capital in 1994. It operates more than 58,000 branches and sub-branches throughout China and has over 530,000 employees.
Internationally, ABC has a branch in Singapore which was opened in July, and three representative offices in Hong Kong, London and Tokyo.
ICBC is the largest bank in China in terms of assets. It ranked 16th in the world in terms of assets and 23rd in terms of capital in 1994. It operates more than 25,000 branches and sub-branches throughout China and has over 600,000 employees.
Internationally, it has two branches, one in Singapore, which was opened in March 1992, and the other in Alma Ata, the capital city of Kazakhstan in the Commonwealth of Independent States, which was opened in October 1993.
It also has three representative offices in Hong Kong, Seoul and Tokyo.
ABC and ICBC have each established a representative office in Hong Kong since March and June last year respectively.
They wish to upgrade their representative offices to full licensed banks to provide more comprehensive services to their customers and to take advantage of the business opportunities in the region.
The spokesman said after granting of the licences to ABC and ICBC, the total number of banking licences granted this year was eight.
He added that the establishment of major Chinese banks in Hong Kong and vice versa would help boost the economy of both sides and enhance Hong Kong's status as an international financial centre.
After the grant of the two licences, there are 185 licensed banks in Hong Kong, of which 154 are incorporated outside the territory.
End/Friday, October 27, 1995