FRANKFURT May 8 Deutsche Bank has
opened a branch in Shanghai's free trade zone, its seventh in
China, to expand services to German firms doing business in
Asia's largest economy, the bank said on Thursday.
The branch will offer cash management and trade finance
services to businesses and financial institutions operating in
the zone and active cross-border, Deutsche Bank said.
"It is especially attractive for German mid-sized companies
to develop their businesses in China in the free trade zone,"
Oliver Brinkmann, head of capital markets for greater China at
Deutsche Bank, told Reuters.
"It's going to be much easier for foreign companies to
finance their businesses in China and to transfer their funds
across borders," he said.
Alan Cloete, co-head of the bank's Asia Pacific division and
a member of the executive committee, hailed China's efforts at
financial reform with the founding of the zone, saying Deutsche
would assist opening the country's economy to markets.
Germany's biggest bank has built a broad footing in China,
with seven of its own branches plus stakes and joint ventures in
other financial firms.
Deutsche has a near-20 percent stake in Shanghai-listed
commercial bank Hua Xia, a 30 percent stake in asset
manager Harvest Fund Management, and owns one third of Zhong De
Securities Co. Ltd., which is a joint venture with brokerage
Germany has also pushed to the fore in promoting commercial
ties to China, becoming the first country in Europe to offer a
payment hub in renminbi in a move expected to facilitate
Deutsche Bank is the only German bank with a presence in the
free trade zone. A spokesman for Commerzbank, Germany's No. 2
bank, said it had no plans to follow suit.
Deutsche Banks' foreign competitors to have established a
presence in China include Citigroup, UBS,
(Reporting by Andreas Kroener; Writing by Thomas Atkins;
Editing by Mark Potter)