The fintech subsidiary of China’s biggest bank in terms of assets has just commenced operation in the Xiong’an New Area of Hebei province.
Gongyin Keji Co., Ltd. (工银科技有限公司) (ICBC Tech) officially commenced operation in the Xiong’an New Area on 8 May, becoming the first banking sector fintech company to set up shop in the region.
ICBC Tech reportedly has registered capital of 600 million yuan, with its main business orientation including “the use of fintech as a medium, focuson industrial clients, government services and other financial scenario developments,” as well as the development of technological innovations, software research and development and product operation.
At its official opening ceremony ICBC Tech executed a “Fintech Memorandum of Cooperation” with the Xiong’an New Area Regulatory Commission, as well as a “Strategic Cooperative Agreement” with the Shanghai Commercial Paper Exchange Cooperation to jointly drive the research, development and application of cutting-edge fintech.
The Xiong’an New Area Regulatory Commission also officially launched the “Xiong’an Requisition and Resettlement Funds Management Blockchain Platform” (雄安征迁安置资金管理区块链平台), which applies ICBC’s blockchain technology to the management of the entire process of requisition filing and disbursement of funds.
ICBC also has plans to establish the “ICBC Xiong’an Digital Finance Laboratory” (工银雄安数字金融实验室) in future.
ICBC chair Chen Siqing (陈四清) said that ICBC Tech would leverage ICBC’s financial and technological advantages to integrate innovative capability and create smart banking strategic measures.
Chen highlighted the “openness genes” of ICBC Tech, with the company expected to serve as a key support for ICBC’s open financial services concept and the implementation of open operations and IT frameworks.
“On the foundation of optimising existing tech institutions, ICBC will use the establishment of a tech company to accelerate the external expansion the value chain of its own product and services.
“Following the establishment of ICBC Tech, we will establish specialised, market-based operating mechanisms that suit the demands of fintech development, and explore new models and paths in the areas of innovative R&D, talent incentivisation and the integration of industry, academia, research and application.”