Citi to launch credit cards in China

Citibank has become the first non-Asian bank to be granted approval to issue credit cards in China after getting the green light from China’s Banking Regulatory Commission. 

The decision means Citi will become the second foreign bank after Hong Kong’s Bank of East Asia to offer credit cards to the Chinese market.

The approval was followed by confirmation from the international banking giant that it plans to launch both retail and commercial credit cards later this year. It also confirmed it will continue its co-branded credit card venture with Shanghai Pudong Development Bank, which began in 2003.

Citi has been steadily growing its presence in China over the last few years, expanding to three new cities in 2011 as well as opening 12 new branches, including the first by any bank at a Chinese airport.

Last month it also secured regulatory approval to establish a joint venture securities firm with Orient Securities Company. Based in Shanghai, Citi Orient Securities Co will engage in investment banking business in the Chinese domestic market.

Commenting, Stephen Bird, chief executive officer at Citi Asia Pacific, said: “This approval represents a significant milestone in the continued expansion of Citi’s business in China.”

Categories
Asian Markets, Banking
Tags:
Citibank, China Banking Regulatory Commission, Bank of East Asia, Orient Securities Company
Author:
Angela Faherty, afaherty@financialpublications.com.au
Article Posted:
February 08, 2012

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