Markets Magazine
Global Banks Are Slowly Making Progress on Mainland China
Beijing is allowing foreign banks to take full control of their Chinese ventures but big profits remain a long way off.
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Banks have long been eager to provide products and services to China’s vast market. At first, Beijing opened the door to the mainland but required foreign banks to enter joint ventures with domestic partners. In 2020, with the pandemic crushing global trade, China allowed foreign banks to take full control of their ventures.
Lackluster performance hasn’t held them back: The world’s biggest financial institutions are injecting more capital, expanding business lines, and hiring talent to strengthen their foothold in a market they can’t afford to ignore.