OREANDA-NEWS. July 12, 2011. Agricultural Bank of China Limited (ABC) and Liangjiang New District of Chongqing signed the strategic partnership agreement in Chongqing on the eve of the 14th anniversary of the establishment of Chongqing Municipality and the first anniversary of the Liangjiang New District. The ceremony was attended and addressed by Mr. Huang Qifan, Mayor of Chongqing, and Mr. Xiang Junbo,Chairman of ABC. Mr. Guo Haoda, Vice President of ABC, and Mr. Tang Zongwei, Deputy Director of the Administrative Committee of the Liangjiang New District, signed the agreement, reported the press-centre of ABC.

The Liangjiang New District is the third national new area of opening and development following the Pudong New Area of Shanghai and the Binhai New District of Tianjin. It is positioned as the financial center and innovation center for the upper reaches of the Yangtze River. To become a financial center involves a large number of financial institutions. Besides, a factor market shall be established, and financial institutions shall boost financial innovation, pool financial resources and improve allocation efficiency to offer more convenient and effective financial services. By signing the agreement, ABC becomes the first bank among the peers to strengthen the strategic partnership with the new district, and boost Chongqing to build a financial center for the upper reaches of the Yangtze River.

To make this realize, ABC has taken five important measures:

First, implementing the "5+1" strategy. Based on needs of the factor market of the financial center, ABC will optimize the layout of regional centers in Chongqing, including the Southwest Credit Card Center and the Product R&D Center under construction and operation as well as the Document Sub-center, the Leasing Project Center and the Subsequent Financial Support Center for the Three Gorges Project to be established in the new district. It will also launch the Chongqing Logistics Development Fund together with HNA Group to form the "5+1" strategic layout. ABC will make a direct investment of more than RMB2 billion in the district, which will directly drive the construction of Chongqing into the financial center for the upper reaches of the Yangtze River and serve as an example indirectly.

Second, providing policy and institutional preferences. ABC will carry out pilot reforms in terms of urban-rural coordination, Sannong (agriculture, rural areas and farmers) finance and human resources at Chongqing Branch, and encourage Chongqing Branch to attempt and enhance the support for the local economy.

Third, favoring the municipality in allocating financial resources. ABC will exert its advantages and integrate its internal resources to enhance the input in Chongqing. With a loan balance of almost RMB160 billion, ABC Chongqing Branch is the largest local loan bank and the only ABC branch with loans exceeding deposits. The ABC Head Office will transfer funds to support Chongqing’s development.

Fourth, vigorously providing credit support. During the Eleventh Five-year Plan period, ABC cumulatively granted loans of over RMB130 billion in Chongqing. Under the recent agreement, in the five years to come, ABC will provide an intentional line of credit totaling RMB100 billion to fund the infrastructure construction, park development and other areas in the Liangjiang New District. It will also offer RMB5 billion of intentional amount of direct or indirect financing for Chongqing Liangjiang New District Development & Investment Group Co., Ltd. to back the leaping development of the district.

Fifth, providing superior and convenient financial services. ABC has upgraded the Liangjiang Branch, newly established the Bonded Port Sub-branch, and dispatched more than 20 experts and business backbones to bolster the two institutions and provide quality and efficient financial services for the Liangjiang New District. As the government is tightening the macroeconomic control, ABC has preceded its peers to publish the Several Opinions of Agricultural Bank of China on Supporting the Liangjiang New District. It defines the roadmap to support the new district in credit policy, credit scale, business operation efficiency and resource allocation, and provides preferential treatment by establishing the green channel for projects and enterprises in the new district.