5/5/2016

Bank of China gets green light in Türkiye

Anadolu Agency - Bank of China, one of the world’s largest financial institutions, has received permission to operate in Türkiye, Deputy Prime Minister Mehmet Simsek said.

 

Simsek said that the bank applied to Türkiye’s banking watchdog, the BDDK, in January for a licence. The BDDK’s last meeting green-lighted the bank’s entry into the Turkish market.

 

Simsek said Bank of China was the seventh-largest bank globally, adding that its presence in Türkiye was a clear sign of foreign investors’ interest in the domestic market.

 

The bank is expected to start operations within nine months in Istanbul, in line with Turkish banking law requirements.

 

“The bank has an application for establishment with TRY 300 million [USD 106 million] capital in Türkiye. In the bank, which is expected to be established after obtaining a certificate, Bank of China will have 99.99 percent of shares,” Simsek said.

 

The minister added that four other companies – Best Stream, Maxon, Well Ocean and Union Favour – owned by Bank of China Group Investment Limited, a subsidiary of Bank of China, would have shares of 0.01 percent in total.

 

“Türkiye's investment potential and stable economic structure boost foreign-capital banks’ interest in Turkish banking sector,” Simsek said, adding there are many applications from large international banking groups to the BDDK for new establishments or share transfers.

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