Official Opening of CCB Sydney Representative Office

CCB’s Sydney Representative Office was officially inaugurated on November 30th 2007 in Sydney, Australia.  Attending the opening ceremony were Chinese Ambassador to Australia Zhang Junsai, New South Wales Parliamentary Secretary to the Premier on Investment & Councillor Henry Tsang, Reserve Bank of Australia vice president Ric Battellino, Australian Securities & Investment Commission executive general manager Ryan Byers [phonetic translation], CCB chairman Zhang Jianguo, vice president Zhao Lin and more than 300 other Australian guests.

Both China and Australia are influential countries in the Asia-Pacific region.  Since they have established diplomatic ties 35 years ago, a comprehensive and mutually beneficial cooperative relationship has been developed.  In the first half of 2007, bilateral trade between China and Australia reached US$ 19,500 million.  Currently, Australia is China’s ninth largest trading partner and is an important partner in energy and mineral resources, whereas China is the second largest trading partner for Australia.  So far, CCB has built up a significant asset portfolio foundation in Australia.  Establishing an office in Australia has long been one key strategy move for CCB to expand its business overseas and fits in well with the objective needs for economic, trade and financial cooperation between the two countries.  From now onwards, the Sydney Representative Office will commit itself to promoting economic and trade relationship and cooperation in banking between the two countries.  As well, it will assist its customers in its headquarter and various branches to carry out marketing and market research activities and will actively seek upgrading to an operative institution.

CCB is an outsized Chinese commercial bank.  In 2003, it took up the responsibility of serving as a pilot in the reformation of Chinese state-owned commercial banks.  In carrying out the first task of shareholding reform, it had successfully completed the three stages of financial structuring, joint-stock company establishing and public listing.  On October 27th 2005, it became the first Chinese state-owned commercial bank to be listed in the Hong Kong Stock Exchange; and on September 25th this year, its A shares were also successfully listed in the Shanghai Stock Exchange.  In the course of reforming, CCB had developed a standardised corporate governance structure.  In addition, it had adopted a customer-focussed operating concept in carrying out reforms in its operating systems and operating mechanisms, in reengineering its business processes, in fortifying its internal management and strengthening its risk control.  As a result, it had achieved rapid growth in business and considerable increases in profit.  The achievement of CCB’s reform and development had won widespread commendation and full recognition domestically and overseas.  For example, in 2006, it was hailed as the “Most Profitable Bank in Asia”.  In 2007, it was named the “Best Corporate Governance Enterprise” by the Asset Magazine, the “Best Emerging Market Bank Award—Best Chinese Bank of the Year” by Global Finance magazine and was presented the “Capital Outstanding Chinese Bank” award by Capital magazine.  As at the end of last September, CCB had total assets of RMB 6,406,000 million, an increase of 17.57% over the end of last year; its net profit was RMB 57,100 million, an increase of 52.9% over the same period last year; its return on average equity was 22.86%; its capital adequacy ratio was 12.53% and its core capital adequacy ratio was 10.60%.  Currently, CCB ranks second in asset size among Chinese domestic banks and ranks second in total market capitalisation (A+H shares) among all listed banks worldwide.  CCB is now striving towards a higher aim: to become a world class bank.

Since the establishment of its first representative office in London in 1991, CCB has been increasing its overseas branches steadily.  So far, its has representative offices in Hong Kong, Singapore, Frankfort, Tokyo, Johannesburg and Seoul, owns two wholly owned subsidiaries in Hong Kong and representative offices respectively in New York and London.  The establishment of its Sydney representative office further fulfils its objective of extending its network to key financial centres of the five continents.  In order that it can provide more comprehensive financial services to its domestic and overseas customers through the expansion of its overseas business, CCB is adopting the guiding principle of “strengthening its Asian stronghold, fortifying its European positions and making breakthroughs in the Americas and in Australia”.  Currently, it is actively seeking to establish operational branches in Vietnam, New York, London and in the Middle East.  In the next stage, in a bid to comprehensively enhance its competitiveness and sustainable development capability overseas, CCB will study its overseas network and plan its overseas business development from a higher level of view.  It will adopt new thinking and new concepts in guiding the build up of its overseas network and will fully exploit the advantage of resource consolidation and the regional advantages of its overseas branches.  In striving to become a world class bank, it will build a sound foundation for its overseas business and create a reputable international image by setting up overseas branches which are specialised, intensified and professional.