OREANDA-NEWS. February 29, 2012. Agricultural Bank of China (UK) Ltd. (hereinafter referred to as UK Subsidiary) started business in London, symbolizing that Agricultural Bank of China Limited (ABC) has made major progress in the international business strategy. UK Subsidiary is the first operational institution that ABC sets up in Europe and America, and also ABC's first overseas subsidiary. It will provide important support for ABC to explore European market, build up a 24-hour global funds operation platform and establish a multi-currency transnational clearing network, reported the press-centre of ABC.

UK is one of the most important trade partners of China. Over 40 years of the Sino-UK diplomatic relations, the bilateral economic and trade ties rapidly developed. Such increasingly stronger ties lay the foundation for the growth of financial sector, but also raise new requirements for banking services. Mr. Jiang Chaoliang, Chairman of the Board of Directors of ABC, said that ABC would focus on the local market, steadily promote its international business strategy in accordance with the overall demand of modest internationalization, scientific network layout, reasonable operational structure and strong risk management capacity, so as to gradually advance ABC's coordinated development ability both at home and abroad.

Upon the foundation, UK Subsidiary will be mainly engaged in wholesale banking business, including corporate deposit, syndicated loan, bilateral loan, trade finance, international settlement, foreign exchange clearing and foreign exchange trading etc..

Looking into the future, it will provide quality, efficient and convenient financial services for Chinese enterprises that "go global", foreign companies with close trade ties with China and local industrial and commercial enterprises in UK by tapping into ABC's advantages in customers, capital and network. Mr. Zhang Yun, Vice Chairman of the Board of Directors and President of ABC, said in the opening ceremony that ABC would make full use of UK Subsidiary as a platform to strengthen the cooperation with the UK financial sector, deepen financial cooperation and exchange with European countries and promote Sino-UK economic and trade exchange and cooperation.

Over recent years, ABC consistently improves overseas network layout and steadily promotes the international development strategy by adhering to the internationalization of RMB, corporate customers and financial assets. At present, it has set up 10 overseas subsidiaries in 8 countries and regions and established correspondent bank relations with 1,365 banks in 111 countries and regions, which helps bring into shape a global financial service network covering major international financial centers and regions with economic and trade ties with China, and steadily improve its international comprehensive operation capability.

As one of the four major banks of China, with its own growth and development, ABC is gaining greater global influence. In July 2010, it went public in Shanghai and Hongkong, creating a record high as the largest IPO in the world and achieving the historic leap towards a public shareholding bank. In 2011, ABC ranked the 127th in the Fortune Top 500, the 14th in the Top 1,000 Banks of The Banker in terms of tier 1 capital, and the fifth in the global banking industry in terms of market value at the end of 2011.