(Yicai Global) May 25 -- The assets held by overseas-funded banks and insurers in China totaled more than CNY5 trillion (USD700 billion) at the end of the first quarter as the country continues to open up its financial sector, according to the latest official data from the China Banking and Insurance Regulatory Commission.

Overseas lenders have set up 41 banks, 115 branches, and 149 representative offices in China, with the number of commercial organizations reaching 975, totaling CNY3.58 trillion in assets, broadcaster CCTV reported today. Foreign insurers have opened 64 insurance firms as well as 124 representative offices and 18 intermediary organs, with their total assets standing at CNY1.46 trillion.

Chinese regulators have taken decisive steps to open up the financial sector since 2018, gradually expanding market access for overseas investors and reducing or lifting restrictions on the proportion of shares they can hold. Last year and in the first quarter this year, the CBIRC approved 27 applications to prepare for the opening of overseas banks and insurers and 26 applications to start business, with new registered capital amounting to CNY9.5 billion (USD1.3 billion).

The CBIRC gave the nod to Allianz China Insurance Holding’s bid to start business last November. It is China’s first insurance holding company that is wholly owned by an overseas investor, marking a milestone in the opening-up of China’s insurance sector.

The CBRIC said that it will push ahead with the opening-up measures this year to ease market access, business scope and the business environment for overseas banks and insurers.

Editor: Peter Thomas