Economy and Business

Nanning set to become regional financial hub

By Huang Feifei and Huang Zhaohua (China Daily Guangxi Bureau)
Updated: 2010-05-20 16:49

The China-ASEAN Free Trade Area (CAFTA) has brought enormous opportunities to Nanning's financial industries. The capital of the Guangxi Zhuang autonomous region is at the hub of international trade in the region and its rapidly growing currency exchanges.

Nanning, already an emerging economic center in southwest China, was also bolstered by the 2008 State Council approval of the Guangxi Beibu Gulf Economic Zone.

"We have to grasp the opportunity to build a regional international financial center in Nanning to promote the city's status," a government official said. Nanning’s GDP has had double-digit growth rate for seven consecutive years. Its fiscal revenue, total fixed asset investment, industrial output value and retail sales have all had growth rates of more than 20 percent in the recent years.

Its securities trading comprise 51.25 percent of Guangxi's total, while 99.94 percent of the region's financial futures trading take place in Nanning.

"Based on banking, securities and insurance, Nanning has gained solid conditions for becoming the regional economic center," said Liu Changlin, deputy mayor of Nanning. "We have 19 banking institutions, including two policy banks, four State-owned commercial banks, eight joint stock commercial banks, one regional commercial bank, three foreign banks and one rural credit cooperative," he said.

"We also have 25 insurance companies, one corporate securities institution and 40 registered guarantee agencies. The city has 959 bank offices, 13 futures departments and 19 security outlets. The comprehensive financial system will provide a good business environment for investors from home and abroad," said Liu.

Solid foundation

Nanning has already developed comprehensive public facilities and services, noted Che Rongfu, Party secretary of the Nanning.

He said:"It has strong capability to provide various services to meet different demands." Many foreign banks have established branches in Nanning, including Hong Kong Nanyang Bank, Vietnam Saigon Bank and the credit card center of the China Construction bank.

"Nanning as an important city in the Guangxi Beibu Gulf Economic Zone has an advantageous geographical position and huge potential for economic development," said Yang Ruhai, executive director of Nan yang Commercial Bank. The annual China-ASEAN Free Trade Area Forum and the China-ASEN Expo "also enhances regional trade cooperation," he said.

Chen Jianlin,an official with the Guangxi regional finance office, believes that the establishment of the financial center in Nanning not only helps the city's development, but also meets regional and even national demands.