(Yicai Global) May 7 -- Two financial companies have got the nod from local authorities to set up the first cross-strait consumer finance company with registered capital of CNY500 million (USD78.6 million), jointly invested by a mainland firm from southeastern China's Xiamen and an investment bank in Taiwan.
Fujian-based Xiamen Jin Yuan Investment Group Co. and CTBC Bank Co., one of the largest private banks in Taiwan, have jointly secured the approval from China Banking and Insurance Regulatory Commission to establish Xiamen Jin Mei Xin Consumer Finance Co., which will engage in consumer credit business.
The venture sets out to offer offline and online consumer credit services with innovative channels, and big data marketing. With this platform, Jin Yuan Group will be able to expand its financial cooperation across the strait, and speed up the construction of a cross-strait finance center, said Xu Xiaoxi, president of the firm.
China has seen a roughly CNY8 trillion (USD1.3 trillion) output of consumer finance market by the end of last year, and the figure is projected to reach CNY12 trillion in 2020 at an annual growth rate of 20 percent.
Editors: Emmi Laine, William Clegg