Absa Group has marked a historic milestone with the official launch of a non-banking subsidiary in the People’s Republic of China, fortifying the vital economic bridge between Africa and China.
“The African continent is endowed with talent, mineral wealth and a young population – and is poised to play an increasingly influential role in global trade as investors recognise its status as the last true frontier in global growth,” Arrie Rautenbach, Chief Executive Officer of Absa Group, said in a statement issued in Accra recently.
“Through this expansion, Absa Group isn’t merely acquiring a new location; we’re affirming our dedication to expanding our global presence and playing our part in facilitating growth on the continent,” he said.
He said China-Africa investment relationship had flourished over the past few decades, with China emerging as the continent’s largest bilateral trade partner.
This, he said, had been fuelled by Chinese investment in Africa’s vast natural resources and infrastructural projects, creating huge commercial opportunities for both regions.
“Our decision to establish a presence in China was driven by our ambition to better connect trade, investment flows and clients into Africa, where we will serve them across our extensive continental footprint. Absa Group intimately understands the continent and seeks to be a partner of choice for organisations looking to access opportunities on the continent,” he said.
Absa Group’s expansion into China highlights Absa’s client-centric approach in being able to innately understand their client’s needs.
Its office in China will operate under a wholly foreign-owned enterprise licence which permits the financial institution to provide general advisory services to clients based in China for concluding transactions across the African continent, as a non-banking subsidiary of Absa Group Limited.
This office allows the Absa Group to provide general advisory services to clients based in China for concluding transactions across the African continent, as well as distribute economic or general securities research reports permitted by Chinese regulation to corporate and institutional clients in China and across the African markets.
“The new office will enable Absa Group to offer local support to Chinese clients and stakeholders to conclude transactions across the African continent, helping to support clients’ needs, goals, and ambitions. This is part of a wider commitment from Absa to expand its operations with an international presence in strategic markets and offer deep expertise in African markets to its overseas clients,” Charles Russon, CEO of Absa Corporate & Investment Bank, said.
“Our presence in China will help to firmly establish Absa’s capability to provide general advisory services to clients based in China for concluding transactions across the African continent. This will not only give us a physical presence in the region but also help us to meet the needs of our clients operating in this rapidly growing market,” he said.
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