ICBC eyes the Philippines

MANILA, Philippines - The largest of four state-owned commercial banks in China has set its eye on the Philippines for a possible expansion. Representatives of the Industrial and Commercial Bank of China (ICBC) visited the Philippines to scout for a local partner, Finance Undersecretary Gil S. Beltran said. "They see the potential of the country. They also realized that we’re doing a lot of improvements. They want to find a partner as soon as possible," Mr. Beltran told reporters over the weekend. He said ICBC is eyeing partners who are open to joint ventures or even bank acquisitions. The group, which already met with the Bangko Sentral ng Pilipinas officials, also came to learn about the Philippines’ tax system and the requirements for new and foreign investors. The ICBC was established in 1984 to cater to industrial and commercial credits and savings businesses, which used to transact with the People’s Bank of China. It went public in 2006. The ICBC, the first credit bank in China, holds a balance of 2.91 trillion yuan in domestic corporate loans and 3.4 trillion yuan in domestic corporate deposits as of end-2007. The Chinese bank claims to lead the banking industry in China with profits reaching 81.99 billion yuan last year. — Anna Barbara L. Lorenzo, BusinessWorld