On August 5, 2008, the application of ICBC to open its New York Branch obtained the formal approval of Federal Reserve Board (FRB) and the application has been approved by China's regulating department previously. The approval signifies that ICBC, the biggest bank in market value worldwide, makes another significant move to implement its global strategy.
Based on FRB's approval, the New York Branch of ICBC can operate commercial wholesale services. After its establishment, ICBC New York Branch will function as the ICBC's service platform in the United States to proactively perform businesses, provide customers with better-quality services within approved business scope to promote communications between two countries in trades, technologies, and culture areas.
Meanwhile, the approval will speeds up ICBC to push its international operation strategy, which is beneficial to Chinese financial industry's competitiveness and influence in international financing markets.
According to the report, ICBC formally set up its New York Representative Office in 1997. ICBC went public in October 2006 after its successful reform, all types of business maintained a fast as well as healthy development situation, profit capacity kept growing, risk control was steady and effective, and operation and management proficiency continuously increased, all of which establishes a solid foundation for the promotion of the Representative Office.
Meanwhile, the improvement of ICBC's overall condition and regulating capacity also contributes to the approval. Sino-US banking industry regulating departments' communications have increasingly grown and mutual trust has been constantly strengthened in recent years. The evident improvement of the banking industry regulating capacity of China has been accepted and respected by US. China's banking industry regulating department offers vigorous support to conduct effective communications and consultation in the process of the Branch establishment.
