Banks commit to YRD integration
China’s banks are making better services in “three zones, one valley and one platform” the keys to facilitate financial integration in the Yangtze River Delta region.
“The CBIRC’s Shanghai office will guide the banking industry to serve the integrated development of the Yangtze River Delta region,” Liu Qi, a member of the Party committee with the China Banking and Insurance Regulatory Commission’s Shanghai office, said at a meeting held by the Shanghai Banking Association on Tuesday.
Liu said most banks had already set up special teams for regional integration and had rolled out plans in line with the national strategy.
Most of the plans highlighted key areas, fields and industries as well as promises to lend more money to the region.
The “three zones” are the China (Shanghai) Pilot Free Trade Zone Lingang Special Area, the YRD Ecology and Integration Demonstration Area, and the Shanghai Hongqiao Business Hub.
The 2,300-square-kilometer YRD Ecology and Integration Demonstration Area includes Qingpu District of Shanghai, Wujiang District in Jiangsu and Jianshan County in Zhejiang. It was set up on November 1 by the State Council as a pioneer in conducting the YRD integration development strategy.
The “one valley” is the G60 S&T Innovation Valley of the Yangtze River Delta, which includes nine cities along the G60 expressway.
The “one platform” is the China International Import Expo.
“These areas and platform are the breakthrough point for the banking industry to provide financial services and commit to YRD regional integration,” said Xu Bin, president of the Shanghai Banking Association and president of the Bank of Communications’ Shanghai branch. “The financial industry plays a crucial role in these areas.”
The fields and industries the banking industry will focus on include S&T innovation, industries about people’s livelihoods such as education, health care, city management and public service, infrastructure construction, environmental protection and the medium-sized, small and micro enterprises.
“Integration means interconnection first of all. For us, our focus at present lies in interconnection of infrastructure, city management and industry development,” said Kang Jie, vice president of Shanghai Rural Commercial Bank.
“We will give our focus industries more loans, 50 percent more than other fields,” said Huang Tao, vice president of the Bank of Shanghai.
“The Industrial and Commercial Bank of China will add 2 trillion yuan (US$283.64 billion) in loans to YRD region in the next five years,” said Gao Chong, vice president of ICBC’s Shanghai branch.
“Shanghai Rural Commercial Bank will give 2,000 billion yuan to the YRD region, except Shanghai, in the next five years,” Kang said.
YRD regional integration is promoted by President Xi Jinping who announced it as a national strategy at the opening ceremony of the 1st China International Import Expo on November 5 last year.
On December 1, the State Council issued a “development outline for YRD integration,” setting targets such as achieving concrete progress in integration by 2025 and becoming the most influential and the most active momentum of economic growth by 2035.