First S Korean bank subsidiary opes in China
Tuesday, 13 November 2007
SEOUL, Nov 12 (AFP): Woori Bank said it set up a wholly-owned subsidiary in China today, the first such move by a South Korean lender, as part of its efforts to tap into the Asian banking market.
The bank, South Korea's number two in terms of assets, said it launched Woori Bank China in Beijing to expand into the Chinese retail banking market.
South Korean lenders are increasingly trying to make inroads into foreign markets as competition intensifies domestically.
"By opening the Chinese unit, we are moving one step further towards establishing an Asia-wide network," said Park Byong-Won, chairman of parent company Woori Finance.
"By 2010, we aim at opening 53 branches in China and raising the number of branches to 200 around the world."
Woori Bank, which currently has 39 branches worldwide, said it plans to start a debit card business in China next year before expanding into the credit card market later.
The bank already has five branch offices in China-two in Shanghai and one each in Beijing, Shenzhen and Suzhou-but they can only offer restricted services compared to the new subsidiary.
The bank posted a net profit of 244.3 billion won (268.4 million dollars) in the third quarter, down 53.9 per cent from a year earlier.
The bank, South Korea's number two in terms of assets, said it launched Woori Bank China in Beijing to expand into the Chinese retail banking market.
South Korean lenders are increasingly trying to make inroads into foreign markets as competition intensifies domestically.
"By opening the Chinese unit, we are moving one step further towards establishing an Asia-wide network," said Park Byong-Won, chairman of parent company Woori Finance.
"By 2010, we aim at opening 53 branches in China and raising the number of branches to 200 around the world."
Woori Bank, which currently has 39 branches worldwide, said it plans to start a debit card business in China next year before expanding into the credit card market later.
The bank already has five branch offices in China-two in Shanghai and one each in Beijing, Shenzhen and Suzhou-but they can only offer restricted services compared to the new subsidiary.
The bank posted a net profit of 244.3 billion won (268.4 million dollars) in the third quarter, down 53.9 per cent from a year earlier.