The Bank of China (BOC) aims to expand its global reach and enter a non-financial business area for the first time. It plans to acquire Singapore Aircraft Leasing Enterprise, the largest aircraft-leasing firm in Asia, in order to engage in aircraft leasing and financing.

On November 15, China’s central bank increased the deposit reserve rate by 0.5% to 9%, which was the third increase in 2006. How does this new policy affect China’s overall investment climate? Financial analysts generally agree that this will become a regular tool for the central bank to tighten control over excess financial liquidity.

China’s food and beverage industry is booming with the country’s economic growth and the government efforts to bolster domestic consumption. Food and beverage products are among those consumer goods that are enjoying increased spending by Chinese consumers. While many international players are keen to be more localized to be appealing to Chinese audience, many Chinese food and beverage franchise are anxious to go abroad and join the global community. Pepsi and Little Sheep are good examples demonstrating this converging trend.

Following aggressive moves of HSBC Group and Citigroup Inc., Standard Chartered Group announced business expansion plans by selectively acquiring strategic stakes from Chinese Mainland banks and registered subsidiaries in the country.

As a result of China’s accession to the WTO, foreign financial institutions and bankcard issuers can operate yuan businesses in China starting on December 11, 2006. With Chinese card usage reaching to one tenth of total retail sales across the country, competition over the debit card and credit card market is expected to become more intense in the next few years.