OREANDA-NEWS. September 14, 2011. State-owned Assets Supervision and Administration Commission of Yunnan Province and ICBC International Investment Management Limited Company signed the Yunnan Cultural (Tourism) Industry Development Fund Cooperation Framework Agreement and Yunnan Mining Industry Development Fund Cooperation Framework Agreement. Guests at the signing ceremony were: Luo Zhengfu, member of the Standing Committee of CPC Yunnan Province Committee and Executive Vice Governor of Yunnan Province, Cao Jianfang, Vice Governor of Yunnan Province, Zhang Hongli, ICBC Senior Executive Vice President and Chairman of ICBC International, Executive President Huang Mingxiang of ICBC International, General Manager Zhang Qi of Head Office's Private Banking Department, General Manager Zheng Zhiguang of Precious Metal Department, and President Xu Hai of ICBC Yunnan Branch, reported the press-centre of ICBC.

ICBC and Yunnan Province Government signed the full strategic cooperation agreement in May this year. In response to the agreement, ICBC Yunan Branch proposed to Yunnan Province Government to jointly set up Yunnan cultural (tourism) industry development fund and Yunnan mining industry development fund. The goal is to offer greater availability of funds to the borrowers leveraging ICBC International and the cultural (tourism) industry fund, mining industry fund newly set up by ICBC, and reinforce the support to the Yunnan's growth strategy "A strong province of green economy, a strong province of ethnic culture, the bridgehead of opening to Southwestern China". ICBC Head Office and Leaders of Yunnan Province Government attach high importance to the strategy. The conclusion of the two framework agreements between Yunnan Government and ICBC was a result of thorough discussion between ICBC International and State-owned Assets Supervision and Administration Commission of Yunnan Province.

The new Yunnan Mining Industry Development Fund and Cultural (Tourism) Development Fund both have the fund size of RMB 5 billion, under the custody and management of Industrial and Commercial Bank of China Limited. Government lays down the principles on the operation, internationalization and marketization. Leveraging the unique strength of ICBC and ICBC International in international finance, brand, channel and management, and the rich mining, cultural and tourism resources of Yunnan Province, the two funds support the industry chain of Yunnan's mining, cultural and tourism sectors, and the outstanding companies in these sectors. The purposes are many: speed up industry upgrade and technology restructuring, support new good projects, push the growth of Yunnan's cultural (tourism) and mining sectors, drive the quality, sustainable development of Yunnan economy, and bring good return to the investment.

In the next step, both parties will follow the "A strong province of green economy, a strong province of ethnic culture, the bridgehead of opening to Southwestern China", the economic growth strategy drawn up by the Yunnan Provincial Party Committee, Yunnan Provincial Government. The two funds will invest in the selected good projects and companies in mining, cultural and tourism sectors, keeping pace with the characteristics of Yunnan's regional economy. By driving up the technology and management of Yunnan companies, the aim is to support the first batch of unique Yunnan companies going public in 4-6 years.

Backed by the Head Office's strong strategy, ICBC International has seen its private equity investment fund management business expanding very fast over the past few years. Five private equity investment funds have been incepted so far, with nearly RMB 15 billion of asset under management. Recently, ICBC International set up "Finance Capital", the first integrated RMB private equity investment fund with a total size of RMB 5 billion.