The Chinese banking sector has just seen the establishment of another fintech vehicle by a domestic lender.
Hebei-province lender Bank of Langfang (廊坊银行) recently launched Lanfang Yida Keji Co., Ltd. (廊坊易达科技有限公司), a fintech company with registered capital of 2 million yuan. Bank of Langfang holds a 99% stake in Lanfang Yida.
Bank of Langfang said that the fintech subsidiary was established with the goal of implementing a digital transformation strategy and responding to industry challenges.
“At present [Langfang Yida] is at the initial stage of development, and further consideration will be given to expanding investment on the basis of actual needs subsequently,” said a Bank of Langfang spokesperson.
The move by Bank of Langfang brings the number of Chinese banking sector fintech subsidiaries to 13 in total.
The vehicles first made their debut in China at the end of 2015, with Chinese banks laying claim to their own fintech subsidiaries currently including Industrial Bank Co., Ping An Group, China Merchants Bank, Everbright Group, China Construction Bank, China Minsheng Bank, Huaxia Bank, Industrial and Commercial Bank of China, Bank of Beijing, Bank of China, Agricultural Bank of China, Bank of Communications and Bank of Langfang.