Overseas financial institutions gain greater access to Chinese mainland market

With approval from a Chinese market regulator, a

number of overseas financial institutions are ready to expand their

presence in the Chinese mainland.

German insurer

Allianz Group has gained permission for the preparatory establishment of

a foreign insurance holding company in China, according to a statement

released Sunday by the China Banking and Insurance Regulatory Commission

(CBIRC).

The company, Allianz (China) Insurance

Holding Company Limited, will be China's first-ever wholly-owned

insurance holding company by a foreign insurer, said the statement.

"Today's

announcement also follows the positive long-term cooperation between

China and Germany, allowing our Chinese and international clients to be

able to enjoy Allianz's comprehensive financial and risk management

solutions and services, and benefit from the continued growth and

liberalization of China's financial markets," said Oliver Bate, chairman

and CEO of Allianz Group.

The approval follows a

series of measures recently announced by the Chinese government to

further open up and encourage investment in China by foreign financial

insurance institutions, the company noted.

Chiyu Banking Corporation subsidiary in Fuzhou, capital of southeast China's Fujian Province. /VCG Photo

The

CBIRC also said Sunday that Hong Kong's Chiyu Banking Corporation Ltd.

has been approved to set up a subsidiary bank in Shenzhen, south China's

Guangdong Province.

The regulator said it has been

working to implement measures aimed at further opening-up of China's

banking and insurance sectors since the beginning of the year.

In

line with relevant laws and regulations and under the premise of risk

prevention, the CBIRC has accepted and approved many applications for

market access, it said.

The commission has earlier 10

market access implications, including one from Fubon Bank (China) Co.

Ltd to establish a subsidiary bank in Chongqing in southwest China,

another from ICBC-AXA Life to prepare for the establishment of an asset

management company and a third from Korean Reinsurance Company to set up

a subsidiary.

"For the next step, China will

steadily expand its opening-up in the financial sector while improving

its risk prevention and market supervision capabilities," said the

CBIRC. (Xinhua)