60% of China’s Leading Banks Make Forays into Financial Leasing
As part of efforts to find new profit growth points more than half of China’s leading listed banks have made forays into financial leasing via the establishment of their own specialist subsidiaries.
Banks have emerged as the driving force behind the vast majority of the 52 financial leasing companies established in China.
According to authoritative data 20 of the country’s leading listed banks have established their a total of 12 share-controlled or wholly-invested financial leasing subsidiaries.
These banks include China’s three key policy banks, 5 of its major commercial banks and 12 joint-stock commercial banks.
ICBC, ABC, CCB and Bank of Communications all have their own wholly invested financial leasing firms, while BOC has mades its foray into the field with the acquisition of a Singapore-based subsidiary.
Other banks with financial leasing subsidiaries under the banner include China Merchants Bank, Everbright, Huaxia, Industrial Bank Co., Ltd., Minsheng Bank and Pudong Development Bank.
In addition to this a number of other banks have plans to establish financial leasing firms of their own, including China Guangfa Bank, Hengfeng Bank, China Zheshang Bank and China Bohai Bank.