TAIPEI: Taiwanese banks saw net profits from their Chinese operations climb 88 percent last year to NT$5.2 billion (US$164 million) from the previous year, indicating strong funding demand from Taiwan-based companies operating in China, the Financial Supervisory Commission (FSC) said here the other day.
A total of 13 Taiwanese banks had 18 branches, eight sub-branches and two subsidiaries in China as of the end of last month, the commission said in a statement.
“Most Taiwanese banks are still looking at Shanghai, Suzhou and Guangdong as their major development regions in China,” Banking Bureau Deputy Director-General Jean Chiu told a media briefing.
The branches and sub-branches had an outstanding loan balance of NT$106.4 billion, savings business of NT$24.9 billion and a net income of NT$2.9 billion last year, an increase of 113 percent from the previous year, the statement said.
Taiwanese banks’ subsidiaries had an outstanding loan balance of NT$160.6 billion last year, with their savings business standing at NT$219.7 billion and profits of NT$2.3 billion, up 63 percent from the previous year, the statement said.
In related news, the nation’s 16 listed financial holding companies had all submitted their Asian expansion plans for the next three to five years to the commission at the end of last month as requested, the commission said.
In line with FSC Chairman William Tseng’s proposal, the nation’s major financial institutions plan to accelerate their expansion in Asia.
“I have not gone through the plans yet, but the commission will help competitive players to successfully expand in Asia,” Tseng said by telephone here the other day.
Tseng said that the commission was still targeting helping three to five Taiwanese financial services providers expand into regional players over the next three to five years.
