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'BofA seeks to expand in China'

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Press Trust of India New York
Last Updated : Jan 21 2013 | 2:08 AM IST

Financial services firm Bank of America (BofA) is planning to seek approval from China to expand its operations in the fast-growing country, says a media report.

Attributing to people familiar with the situation, The Wall Street Journal reported that BofA plans to seek approval from China to expand its operations there.

The report noted that BofA executives are discussing to incorporate locally in China, which means the bank has to infuse new capital into its Chinese unit.

However, it is not clear how much capital the bank is seeking to inject into the unit, although Beijing requires a minimum of one billion yuan ($146.59 million) in registered capital.

According to the publication, BofA is  more likely to pursue commercial business, rather than retail banking, which is one of its strengths in the US.

The move comes as the giant bank is trying to broaden its business around the world under new Chief Executive Brian Moynihan.

The Bank entered China in 2004 with a branch in Shanghai and has since received approval to handle limited forms of lending and investment banking.

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First Published: Mar 15 2010 | 12:39 PM IST

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