The lender seen to use its affiliate Hau Nan Bank to form a leasing firm to immediately engage in CNY-based businesses in the Mainland.
To better engage in renminbi (RMB)-based businesses, Hua Nan Financial Holding Co., a government-linked firm in Taiwan, plans to establish a leasing firm in China.
Insiders says HNFHC might direct its affiliate—Hau Nan Bank—to set up a subsidiary in China to then form a leasing firm, adding that setting up a leasing firm in China is easier than a bank branch, not to mention leasing firms can immediately engage in RBM-based businesses in China.
Four Taiwanese financial institutions have established leasing firms in China, namely, Industrial Bank of Taiwan, First Commercial Bank, China Development Industrial Bank and Taishin Financial Holding Co.
Hua Nan Bank established a branch in Shenzhen, Guangdong Province early this year and will reportedly invest to set up a leasing firm in the second half, as well as set up leasing firms in Chongqing and Chengdu in Sichuan Province.
View the full story in News CENS.
Do you know more about this story? Contact us anonymously through this link.