BEIJING: Bank of China (BoC) will be setting up its first branch in Pakistan as it has received its banking license from the State Bank of Pakistan (SBP).
This was announced by Chairman Bank of China Tian Guoli in his meeting with Finance Minister Ishaq Dar in Beijing on Saturday.
Speaking on the occasion, Ishaq Dar said that first branch of the Bank will be opened in Karachi soon.
He invited the Chairman of Bank to visit Pakistan.
The Chairman of Bank of China appreciated Pakistan’s macroeconomic stability and improved economic indicators during the last three years.
The bank is expected to commence its business after meeting regulatory requirements, and is expected to start its operations in branch mode, said a statement released by SBP.
The SBP statement added that BoC is a subsidiary of China Central Huijin, an investment arm of the Chinese government.
BoC operates on mainland China and has footprints in more than 50 countries across the globe, with 19 of those countries located across China’s ‘One Belt One Road’ initiative.
At the end of 2015, the bank had a total of 11,633 institutions including 644 in countries outside China.
BoC is the fourth and fifth largest global bank in terms of Tier-1 capital and total assets respectively. It is listed on the Shanghai Stock Exchange and the Hong Kong Stock Exchange.
The bank will initially bring $50 million to fulfill the minimum capital requirements of SBP.
The long term objective of Bank of China is to increase its market penetration by opening branches in major cities of Pakistan while aiming to be one of the largest foreign banks in the country.
The bank aims to provide differential and specialised banking services to effectively serve financing needs of the China-Pakistan Economic Corridor (CPEC) related projects by leveraging on its experience and global technology platforms.