Bank of China plans more Phl branches

MANILA, Philippines - Bank of China is looking at setting up more branches in the Philippines amid the improving bilateral trade and investment relations between Manila and Beijing.

Deng Jun, country head of Bank of China Ltd. Manila Branch, said in an interview the Philippines is one of the most important markets of the world’s fourth largest bank in Southeast Asia.

 “Philippines is an important market for Bank of China so we are expanding our business here. We only have one branch and we may expand. We may have more branches in the Philippines in the future,” Deng told The STAR.

Deng said the most internationalized and diversified bank in China is looking at Cebu, Davao, and other major cities in the country.

According to him, the planned expansion in the Philippines is supported by the bank’s head office in Beijing as well as Bank of China Hong Kong Ltd.

Bank of China – Manila Branch started its operations in 2002 and is now one of over 11,000 branches worldwide of the Bank of China Group.

Deng said Bank of China is working closely with Philippine banks owned by conglomerates.

These include BDO Unibank of retail and banking magnate Henry Sy, Ayala-led Bank of the Philippine Islands, Metrobank Group of taipan George Ty, Gotianun-led East West Banking Corp., Rizal Commercial Banking Corp. of tycoon Alfonso Yuchengco, among others.

“As a foreign bank we know that we don’t want to compete with local banks. We look at them as partners not only in the Philippines but if their clients want to do business in China we would like to assist them,” he said.

Deng said Bank of China is looking at financing more infrastructure projects in the Philippines particularly those under the public private partnership (PPP) scheme.

“We hope that in the next five years as committed by our head office we are focusing on the trade and infrastructure financing,” Deng said.

The bank has financed several power projects in the Philippines.

“We are monitoring the progress of there projects like the roads, ports, airports and bridges. We would like to finance these projects and we hope that our Chinese clients can also put their experience and capabilities to these PPP projects,” he said.

A total of nine foreign banks have entered the Philippines since former president Benigno Aquino III signed Republic Act 10641 lifting the limit set at only 10.