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Financial trade promoted as banking and IT flourish

By Zhao Tingting (China Daily)
Updated: 2010-06-17 11:29

The authorities of Nanjing hope to combine the city's advantages in finance and service outsourcing industries to speed the development of the local financial outsourcing industry, Vice Mayor Wang Shouwen said at a recent financial outsourcing matchmaking meeting.

As an important part of the third China International Service Outsourcing Cooperation Conference, the matchmaking meeting attracted over 120 top executives from financial institutions and service outsourcing enterprises.

Financial outsourcing is used for financial institutions to outsource non-core and costly operations, from data processing and call centers, to accounting.

The business is a win-win solution to both financial institutions and the financial outsourcing providers. It enables financial institutions to concentrate on their core businesses whilst professional financial outsourcing service providers gain from large-scale productions.

Nanjing, has 33 banks, two Nanjing-headquartered securities agencies and over 70 securities outlets.

Special Coverage: The 3rd China Int'l Service Outsourcing Co-op Conference Related readings:  Nanjing IT outsourcing goes increasingly global  Leading outsourcing firms awarded in Nanjing  Nanjing's outsourcing industry provides jobs  Nanjing to fete top outsourcing firms  CISOCC kicks off in Nanjing

Yuan and foreign currency deposits in banks in Nanjing hit 1.1 trillion yuan ($161.10 billion) by the end of 2009, while outstanding loans stood at 912 billion yuan.

Financial banking assets - deposits and loans - in the city rank seventh nationwide and account for one-fourth of the total amount for Jiangsu province.

Sixty-eight insurance companies, including 26 property insurers and 42 life insurers, collected premiums of 15 billion yuan in 2009, up 11 percent from the previous year.

However, the city's financial service outsourcing development lagged behind the flourishing financial industry. It saw only $24.25 million financial service outsourcing projects in 2009.

To accelerate the expansion of the city's financial service outsourcing sector, local authorities plan to focus on building financial centers for data processing, customer service, accounting and clearance, financial marketing, and financial information, said Yang Zhongnan, vice director with the Nanjing Development and Reform Commission.