Publications
Partners
Johannesburg - Nedbank [JSE:NED] and the Bank of China ('BoC') have entered into a strategic business cooperation agreement to grow business flows between the People’s Republic of China ('China') and Africa.
"The alliance will support clients of the BoC as they look to grow and invest in South Africa and the rest of Africa," Nedbank said in a statement.
"This will be done by providing access to an African bank with a deep understanding of how to do business in Africa and similarly providing support through the expertise of the BoC for Nedbank clients expanding into China."
Nedbank posted a 13% rise in first-half profit on Tuesday, boosted by strong growth in income from fees.
Diluted headline earnings per share rose to 831 cents in the six months to end-June, up from 738c a year earlier.
As the ninth largest bank in the world and China’s most international and diversified bank, the BoC provides a comprehensive range of financial services to customers across the Chinese mainland, Hong Kong,
In 2000, BoC established its Johannesburg branch, which has supported and witnessed the rapid development of economic and trade exchanges between China and African countries.
Nedbank is the fourth largest bank in Africa. The cooperation agreement is expected to enable the banks to align their collective efforts to leverage each party’s strengths across Africa.
"The China–Africa relationship is dynamic on many fronts. China is South Africa’s most significant trading partner in terms of both exports and imports, and has been so for the past four years," according to the statement.
In 2012 trade between South Africa and China amounted to R201bn.
Likewise, African trade with China has grown over the past 20 years and China has displaced France as Africa’s largest trading partner. Today China accounts for 20% of Africa’s trade.
In addition, China has proposed or committed about US$101bn to commercial projects in Africa since 2010, demonstrating the strengthening of political ties between China and Africa.
Mike Brown, CEO of Nedbank said that the BoC also has an existing alliance with Nedbank’s parent, Old Mutual, and with Ecobank, Nedbank’s alliance partner in Central and West Africa.
Noting that 50 of China’s 73 Fortune 500 Companies have a presence in Africa, the BoC said the role of Chinese finance in Africa has evolved rapidly over the past decade.
It has moved from a peripheral actor to one of increasingly central importance to African development.
Zhikun Qiu, the CEO of the BoC's Johannesburg branch, said he appreciates the strategic partnership between the BoC and Nedbank.
Brian Kennedy, Group Managing Executive of Nedbank Capital, has been involved in the formation of the alliance and believes that the strategies of Nedbank and the BoC are complementary.
"This agreement formalises an existing relationship between Nedbank and the BoC, and we will continue to work together on transactions as joint mandated lead arrangers', said Kennedy.
- Fin24
"The alliance will support clients of the BoC as they look to grow and invest in South Africa and the rest of Africa," Nedbank said in a statement.
"This will be done by providing access to an African bank with a deep understanding of how to do business in Africa and similarly providing support through the expertise of the BoC for Nedbank clients expanding into China."
Nedbank posted a 13% rise in first-half profit on Tuesday, boosted by strong growth in income from fees.
Diluted headline earnings per share rose to 831 cents in the six months to end-June, up from 738c a year earlier.
As the ninth largest bank in the world and China’s most international and diversified bank, the BoC provides a comprehensive range of financial services to customers across the Chinese mainland, Hong Kong,
In 2000, BoC established its Johannesburg branch, which has supported and witnessed the rapid development of economic and trade exchanges between China and African countries.
Nedbank is the fourth largest bank in Africa. The cooperation agreement is expected to enable the banks to align their collective efforts to leverage each party’s strengths across Africa.
"The China–Africa relationship is dynamic on many fronts. China is South Africa’s most significant trading partner in terms of both exports and imports, and has been so for the past four years," according to the statement.
In 2012 trade between South Africa and China amounted to R201bn.
Likewise, African trade with China has grown over the past 20 years and China has displaced France as Africa’s largest trading partner. Today China accounts for 20% of Africa’s trade.
In addition, China has proposed or committed about US$101bn to commercial projects in Africa since 2010, demonstrating the strengthening of political ties between China and Africa.
Mike Brown, CEO of Nedbank said that the BoC also has an existing alliance with Nedbank’s parent, Old Mutual, and with Ecobank, Nedbank’s alliance partner in Central and West Africa.
Noting that 50 of China’s 73 Fortune 500 Companies have a presence in Africa, the BoC said the role of Chinese finance in Africa has evolved rapidly over the past decade.
It has moved from a peripheral actor to one of increasingly central importance to African development.
Zhikun Qiu, the CEO of the BoC's Johannesburg branch, said he appreciates the strategic partnership between the BoC and Nedbank.
Brian Kennedy, Group Managing Executive of Nedbank Capital, has been involved in the formation of the alliance and believes that the strategies of Nedbank and the BoC are complementary.
"This agreement formalises an existing relationship between Nedbank and the BoC, and we will continue to work together on transactions as joint mandated lead arrangers', said Kennedy.
- Fin24
