State Bank of Pakistan (SBP) allowed the Bank of China Limited to start banking business in Pakistan.
The Bank of China is a subsidiary of China Central Huijin, the investment arm of China. The Bank of China is the 4th and 5th 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. Globally, the footprint of Bank of China is spread across 50 countries out of which, 19 are located across Chinese “One Belt One Road” initiative.
State Bank of Pakistan (SBP), in exercise of the powers conferred on it by clause (a) of Sub-Section (2) of Section 37 of the SBP Act, 1956, has declared “Bank of China Limited” as a scheduled Bank with effect from September 18, 2017.
SBP earlier issued a banking license to the bank in May 2017. The Bank of China Limited has complied with the important regulatory and operational requirements of SBP necessary to commence banking business in Pakistan.
In Pakistan, the Bank of China aims to provide specialized banking services to serve the financing needs of the China Pakistan Economic Corridor (CPEC)-related projects by leveraging on its experience and global technology platform.
The Bank of China is the second Chinese bank, which entered in Pakistan. The Bank of China’s entry into Pakistan will not only further strengthen the bilateral relationship of Pakistan and China but will also represent growing confidence of international investors on the country’s banking sector and the stable economic outlook.
