The story appears on

Page C1

November 11, 2013

GET this page in PDF

Free for subscribers

View shopping cart

Related News

Home » Business » Finance Special

Roundtable on financial reforms

Editor’s note

Shanghai continues its active implementation of plans to transform itself into a global financial center.

This month, Shanghai Daily talked with senior executives of 11 multinational financial institutions to seek their views on the city’s efforts to date and what it needs to do to move forward. The interviews encompass commercial lenders, investment banks, fund managers and accountancy agencies.

Respondents

Special thanks to the following financial institutions:

Citi

UOB

HSBC

BNP Paribas

AIG

Standard Chartered Bank

JPMorgan

PwC

KPMG

Fidelity Worldwide Investment

Stratton Street Capital

 

Shanghai’s achievements are long and impressive. It is China’s biggest urban center and host to the nation’s largest port. It is a major financial center both in China and in Asia. It has been a pioneer in reforms and a magnet for foreign investment. It is a place where infrastructure, education, social services and emphasis on innovative thinking combine to provide opportunities and a sustainable lifestyle.

In the early 20th century, the city was known as the “Paris of the Orient” because it was the first metropolis in  Asia to build a bridge between East and West. In many respects, it is not a typical Chinese city because of its hai pai — merging of Chinese and Western cultures that contributes to the city’s charm, vitality and values.

“Small things highlight the value and spirit of the city,” Loh Long Hsiang, Shanghai general manager of Standard Chartered Bank, told Shanghai Daily during a survey for comments on the city’s development into an international financial hub by 2020.

“In modern times, Shanghai has always been the most open and international metropolis on China’s mainland,” he said. “The city has the deep roots of an international tradition, which is the gene of globalization.”

Shanghai has a venerable history as a trade and banking hub in Asia. The famous mile-long Bund on the west bank of the Huangpu River initially developed as home to a large number of important Western trading and financial companies.

The landscape of the financial industry in Shanghai has undergone great changes again, especially after China joined World Trade Organization in 2001.

The opening-up of the banking sector has allowed foreign banks to incorporate local subsidiaries since 2007, providing a platform for banks like BNP Paribas to expand their business activities in China, said Clarence T’ao, China chief executive officer at the Paris-based bank.

There were 22 locally incorporated overseas banks in Shanghai by the end of last year, holding 18 percent of the total assets of the entire banking industry in the city, according to the Shanghai Financial Association. The city is now home to 400 foreign financial institutions.

Bigger role

As reforms progress, overseas banks are playing a bigger role in the development of the city’s financial sector. Foreign financial institutions in Shanghai comprise a much larger proportion of the financial industry than their peers in other areas on the Chinese mainland.

“Shanghai indeed has a good track record on innovation and reforms,” said Andrew Au, CEO of Citi China. “Citi China has enjoyed the benefits of being headquartered in Shanghai since it was first established here in 1902.”

The ascendancy of foreign banking in the city has attracted a large number of global professionals to the city.

“The ability to bring people with different skill sets to Shanghai is important,” said T’ao, noting that expatriates add stability and depth to the financial sector.

“As Shanghai bids to become an international financial center, the focus should be on further enhancing the international component of Shanghai’s financial services,” said Citi China’s Au. “This would mean more reforms in line with the policy direction of the central government and the continuation of attracting international participation in Shanghai.”

Shanghai Daily is publishing the detailed comments of key financial sector players in this supplement.

 




 

Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.

沪公网安备 31010602000204号

Email this to your friend