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Banks build regional platforms to tap China+1 strategy

Goola Warden
Goola Warden • 4 min read
Banks build regional platforms to tap China+1 strategy
Singapore banks build regional platforms to tap supply chain in China+1 strategy
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A Bank of America (BoA) report dated Jan 12 by its GEM Asia Econom­ics Research team crys­tallises the rationale why Singapore banks have cre­ated regional platforms to cap­ture trade, investment and wealth flows within Asia.

Outside of Singapore, DBS Group Holdings’ main markets are Greater China including Taiwan, India, and Indonesia. Oversea-Chi­nese Banking Corp (OCBC) has a significant presence in Greater China via its acquisition of Wing Hang Bank in 2014. United Over­seas Bank (UOB) has an Asean presence, a bank branch in Hong Kong, and Foreign Direct Invest­ment (FDI) Advisory offices in five Asean countries, Japan, Chi­na, Hong Kong and India. These one-stop offices help companies set up regional operations in Asia.

Asean is in particular focus following the pandemic, wars and geopolitical tensions. Asian economies such as India, along with Asean, are emerging as sig­nificant players in internation­al trade and investment, as well as being part of the global value chain (GVC).

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