AGL 41.50 Increased By ▲ 2.96 (7.68%)
AIRLINK 128.00 Decreased By ▼ -1.50 (-1.16%)
BOP 6.26 Increased By ▲ 0.65 (11.59%)
CNERGY 4.13 Increased By ▲ 0.27 (6.99%)
DCL 8.44 Decreased By ▼ -0.29 (-3.32%)
DFML 40.69 Decreased By ▼ -1.07 (-2.56%)
DGKC 87.90 Decreased By ▼ -0.40 (-0.45%)
FCCL 34.10 Decreased By ▼ -0.90 (-2.57%)
FFBL 66.33 Decreased By ▼ -1.02 (-1.51%)
FFL 10.56 Decreased By ▼ -0.05 (-0.47%)
HUBC 108.70 Decreased By ▼ -0.06 (-0.06%)
HUMNL 14.46 Decreased By ▼ -0.20 (-1.36%)
KEL 4.65 Decreased By ▼ -0.10 (-2.11%)
KOSM 7.33 Increased By ▲ 0.38 (5.47%)
MLCF 42.72 Increased By ▲ 1.07 (2.57%)
NBP 60.84 Increased By ▲ 1.24 (2.08%)
OGDC 178.97 Decreased By ▼ -4.03 (-2.2%)
PAEL 25.70 Decreased By ▼ -0.55 (-2.1%)
PIBTL 6.06 Increased By ▲ 0.09 (1.51%)
PPL 146.15 Decreased By ▼ -0.55 (-0.37%)
PRL 24.91 Increased By ▲ 1.30 (5.51%)
PTC 16.14 Decreased By ▼ -0.42 (-2.54%)
SEARL 70.20 Increased By ▲ 1.90 (2.78%)
TELE 7.22 Decreased By ▼ -0.01 (-0.14%)
TOMCL 36.20 Increased By ▲ 0.25 (0.7%)
TPLP 7.84 Decreased By ▼ -0.01 (-0.13%)
TREET 15.59 Increased By ▲ 1.39 (9.79%)
TRG 50.36 Decreased By ▼ -0.09 (-0.18%)
UNITY 26.90 Increased By ▲ 0.15 (0.56%)
WTL 1.24 Increased By ▲ 0.03 (2.48%)
BR100 9,793 Decreased By -12.8 (-0.13%)
BR30 29,604 Decreased By -74.4 (-0.25%)
KSE100 92,021 Decreased By -282.9 (-0.31%)
KSE30 28,665 Decreased By -175.5 (-0.61%)

Mitsubishi UFJ Financial Group (MUFG) is looking to co-operate with regional banks in China, as well as hire more risk and compliance staff, in a bid to navigate the country's tighter regulatory environment. Beijing has launched a slew of new regulations this year to reduce leverage across the financial sector, from rules to rein in risky off-balance sheet bank lending to halting new licenses for micro-loan firms.
"We have to meet such requirements and we need more talented people," Eiichi Yoshikawa, a senior managing executive officer at Japan's largest bank by assets, told Reuters on Friday. In order to "provide more diversified financial services" to meet the changing needs of customers, MUFG will "need partner banks in China", Yoshikawa added.
He did not give any details on prospective partners nor existing co-operation agreements. MUFG's clients would previously make in China with the aim to export their products but now they are looking to sell more in the domestic market, he said, as soaring disposable income drives up demand in the country.
This means customers are increasingly looking for cash collection services, dealer finance, supply chain finance, all of which can be better provided through co-operation with regional banks, Yoshikawa added. MUFG needs "talented, resourceful Chinese people" for risk management and compliance, Yoshikawa said, but added the bank would not increase its headcount in the country.
MUFG's current headcount in China is 2,400. Faced with sluggish growth at home, due to lower returns from lending under the Bank of Japan's monetary easing, MUFG has been trying to expand its presence overseas. In Southeast Asia, MUFG already holds stakes in Vietnam's Vientinbank, Thailand's Bank of Ayudhya and Security Bank Corp of the Philippines.

Comments

Comments are closed.